August 1, 2021

Trump says "the Fed has gone crazy" after the fall on Wall Street

Trump says "the Fed has gone crazy" after the fall on Wall Street



US President Donald Trump said today that the US Federal Reserve (Fed) "has gone crazy" after the notable fall in Wall Street, which the White House tried to play down.

Asked if he is worried about the session in the New York parquet, Trump considered that it is a "correction that was expected for a long time," and continued his criticism of the Federal Reserve.

"The Fed is making a mistake, they are too tight (interest rates), I think the Fed has gone crazy," he told reporters in Erie, Pennsylvania, where he plans to hold a rally.

"There are people who will say that (the rise in interest rates) gives a lot of security, and yes, it gives a lot of security and a lot of margin, but I think the Fed has gone crazy," he added.

The Dow Jones today left more than 830 points on the road, which translates into a decline of 3.15 percent, and the S & P 500 dropped by 3.29 percent, both percentages not seen since early last month. February.

The hardest blow was taken, however, by the Nasdaq, where a number of important technology companies are listed, which fell by 4.08%, a fall recorded for the last time in November 2016.

The day is a continuation of the negative trend that began in the market last week as a result of the fear that aroused in the investors a rise in the profitability of public debt, combined with the possibility of a new rise in interest rates by the Fed.

Trump already criticized two weeks ago the third rise in interest rates so far this year, which put them between 2% and 2.25%, which put the price of money at its highest level since 2008.

White House spokeswoman Sarah Huckabee Sanders today tried to reduce the weight of the stock market crash and stressed that "the base and future of the US economy remain incredibly strong", highlighting low unemployment and recent Tax cuts for businesses.

"President Trump's economic policies are the reasons for these historic successes, and have created a solid foundation for growth to continue," Sanders said in a statement.

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