$DOGE $ZEC $UNI Trump pressures the Fed to cut interest rates: no rate cut, no trade with all deficit countries
Core content of the statement
Trump explicitly demanded that the Federal Reserve act as a “patriot,” saying that current high interest rates place the United States at an extremely unfair competitive disadvantage. He also directly tied interest-rate policy to trade policy, proposing that if the Fed refuses to cut rates, the United States will stop doing trade with all economies that run a goods trade deficit with the U.S., attempting to force the Fed to adjust monetary policy through extreme external constraints.
Experts assessed the potential consequences. He Weiwen, a senior researcher at the Center for China and Globalization, pointed out that the two core thresholds for a Fed rate cut have not been met:
- First, current U.S. CPI is still above 3%, far higher than the 2% inflation target
- Second, the August nonfarm payroll data far exceeded expectations, and the labor market has not shown signs of deterioration that would require a rate cut to stimulate it
From an objective standpoint, the Fed has no reasonable basis for cutting rates.
The infeasibility of extreme policy
If the United States really cut off ties with all trade-deficit partners, its own foreign trade system would come to a complete halt. The global industrial and supply-chain network spanning the entire chain would be directly broken, ultimately causing the U.S. production system to grind to a stop.
The core structural problem of the U.S. economy stems from the long-term decline of manufacturing and the virtualization of the economy. Neither forcing rate cuts, imposing tariffs, nor cutting off trade can fundamentally solve these deep-seated contradictions.#ZEC续刷历史新高 #美国8月非农数据今日公布 #Adobe宣布换帅股价盘前跌3%
Core content of the statement
Trump explicitly demanded that the Federal Reserve act as a “patriot,” saying that current high interest rates place the United States at an extremely unfair competitive disadvantage. He also directly tied interest-rate policy to trade policy, proposing that if the Fed refuses to cut rates, the United States will stop doing trade with all economies that run a goods trade deficit with the U.S., attempting to force the Fed to adjust monetary policy through extreme external constraints.
Experts assessed the potential consequences. He Weiwen, a senior researcher at the Center for China and Globalization, pointed out that the two core thresholds for a Fed rate cut have not been met:
- First, current U.S. CPI is still above 3%, far higher than the 2% inflation target
- Second, the August nonfarm payroll data far exceeded expectations, and the labor market has not shown signs of deterioration that would require a rate cut to stimulate it
From an objective standpoint, the Fed has no reasonable basis for cutting rates.
The infeasibility of extreme policy
If the United States really cut off ties with all trade-deficit partners, its own foreign trade system would come to a complete halt. The global industrial and supply-chain network spanning the entire chain would be directly broken, ultimately causing the U.S. production system to grind to a stop.
The core structural problem of the U.S. economy stems from the long-term decline of manufacturing and the virtualization of the economy. Neither forcing rate cuts, imposing tariffs, nor cutting off trade can fundamentally solve these deep-seated contradictions.#ZEC续刷历史新高 #美国8月非农数据今日公布 #Adobe宣布换帅股价盘前跌3%
