President Donald Trump on Friday sent out another panicky tweet about the state of the economy even as many economists say that the president's trade war has been responsible for the recent slowdown in growth.
"We don’t have a Tariff problem (we are reigning in bad and/or unfair players), we have a Fed problem," the president wrote. "They don’t have a clue!"
The president also complained that the Federal Reserve has not done enough to weaken the dollar against other foreign currencies.
"The Euro is dropping against the Dollar 'like crazy,' giving them a big export and manufacturing advantage... and the Fed does NOTHING!" the president complained.
....We don’t have a Tariff problem (we are reigning in bad and/or unfair players), we have a Fed problem. They don’t have a clue!— Donald J. Trump (@Donald J. Trump)1567173341.0
The president has expressed significant anxiety about the state of the economy thanks to the inverted yield curve, which means that short-term U.S. treasury bonds are delivering higher rates of return than long-term bonds. While an inverted yield curve does not guarantee a recession, it has preceded each of the last seven recessions.
Instead of working to ease off his trade war with China, however, the president has instead taking to blaming the Federal Reserve for not doing more to pump money directly into the economy by aggressively cutting interest rates.