01:44 GMT +318 November 2019
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    Federal Reserve Chairman Jerome Powell's speech at The Economic Club of Chicago, appears on a screen on the floor of the New York Stock Exchange, Friday, April 6, 2018

    Trump Calls Federal Reserve ‘Only Problem’ for US Economy

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    WASHINGTON (Sputnik) - Jitters in stock markets and fears for the overall US economy have only one cause - the Federal Reserve (Fed), President Donald Trump said in a statement on Monday.

    "The only problem our economy has is the Fed," Trump said via Twitter. "They don’t have a feel for the market, they don’t understand necessary trade wars or strong dollars or even Democrat shutdowns over borders."

    Trump compared the Federal Reserve to a powerful golfer "who can’t score because he has no touch — he can’t putt!"

    READ MORE: Japanese Yen, Swiss Franc Rally Amid US Political Tensions, Trade Woes

    Although the three-sentence message lacked details, it apparently goes back to the Federal Reserve’s decision last Wednesday to raise interest rates for the fourth time this year that prompted immediate criticism from Trump.

    As the weekend approached, Trump’s criticism shifted to a discussion of whether to fire Federal Reserve Chairman Jerome Powell, according to media reports that were subsequently denied by Treasury Secretary Steven Mnuchin on Monday.

    Trump's remarks come after socks initially plunged during an abbreviated session on Christmas Eve, with the Dow Jones Industrial Average falling 300 points in early trading and overall stock markets heading toward the worst December since 1931.

    Analysts attribute stock woes to growing concerns over US tariffs and the resulting trade war, as well as the third shutdown of the US federal government this year over a dispute in Congress over immigration. A partial shutdown began at midnight on Friday and is expected to last into the new year.

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    Tags:
    US import tariffs, US-China trade war, Federal Reserve Bank, Donald Trump, United States
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