US Pres. Trump: Fed should ease and “cut rate big”

Eren Sengezer FXStreet

US President Donald Trump noted that the Reserve Bank of Australia lowered its policy rate to 0.5% to battle the economic slowdown amid the coronavirus outbreak and called upon the Federal Reserve to make a big interest rate cut.

"Our Federal Reserve has us paying higher rates than many others when we should be paying less. Tough on our exporters and puts the USA at a competitive disadvantage," Trump tweeted out. "We must be the other way around. Should ease and cut rate big. Jerome Powell led Federal Reserve has called it wrong from day one."

USD reaction

The USD's reaction to Trump's comments was relatively muted. As of writing, the US Dollar Index was up 0.08% on a daily basis at 97.60.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

EUR/USD pops to yearly highs near 1.1770

EUR/USD rapidly reverses course and hits fresh YTD tops near 1.1780 at the end of the week. The pair’s U-turn comes on the back of the intense sell-off in the Greenback amid the generalised risk-on context.

GBP/USD climbs to four-month tops near 1.3600

GBP/USD is building on its solid weekly advance and is pushing toward the 1.3600 hurdle on Friday, or new four-month peaks. Cable’s strong move higher comes as the Greenback intensifies its decline, while auspicious results on the UK calendar also collaborate with the uptrend.

Gold picks up pace, approaches $5,000

Gold prices keep their uptrend well in place and gear up for an imminent hit to the key $5,000 mark per troy ounce on Friday. The yellow metal’s sharp advance gathers pace amid the increasing weakness in the US Dollar and mixed US Treasury yields across the curve.