Home > Global channel >                 text

Blame the Fed! Trump whispered: the US stocks could rise by 10,000 points.

April 15, 2019 10:45
source: Global Forex

Oriental Fortune APP

  • Convenient
  • Mobile phone viewing financial news
  • Professional, rich
  • Master the pulse of the market

Read articles on your phone

  • prompt:
  • WeChat sweep
  • Share it with you
  • Circle of friends

US President Trump said on Sunday that the actions taken by the Federal Reserve (FED) have increased the US economy.Long andThe stock market's gains have hit about 30%, and the Fed should start to inject money into the economy as it did during the 2007-2009 recession.

  Trump did not cite any evidence for the latest criticism of the Fed. He wrote, "If the Fed does its job well - it is not doing well, then the stock market would have risen by 5,000 to 10,000 points.GDPThe growth rate will be much higher than 4%, instead of the current 3%. . . There is almost no inflation."

"Quantitative austerity is a killer, and the opposite should be done," he said, referring to the Fed’s practice of reducing its bond holdings by up to $50 billion per month last year. These bonds were bought by the Fed before the worst recession since the Great Depression of the 1930s.

  Trump suggests that the Fed’s return to quantitative easing will shift the Fed’s position to increasecurrencyStimulus measures and expansion of bond market positions, the current strong economic growth, unemployment rate is at a historical low.

The recent minutes of the Fed meeting showed that none of the three Fed governors appointed by Trump and his personally selected Fed chairman Powell suggested that the United States need the Fed’s support measures in the recession 10 years ago.

The Fed has decided to suspend its balance sheet since September, after drawing the conclusion that considering businessbankWith the demand for reserves, the public's cash needs, and other uses, the Fed's assets of about $3.5 trillion were sufficient at the time.

Trump was very angry last fall, when a number of risks caused the Dow Jones Industrial Average to fall more than 20% between October and December.AnalystThese risk factors include a slowdown in overseas economic growth, Trump’s own trade policy, and Powell’s communication mistakes.

The above-mentioned lost ground has basically recovered. Due to the Fed’s shifting position, the Dow Jones Industrial Average is currently only 1.5% lower than the record high set on October 3.

(Article source: Global Forex Network)

                (Editor: DF381)

you might be interested
  • News
  • stock
  • global
  • Hong Kong stocks
  • US stocks
  • futures
  • Foreign exchange
  • life
    click to see more
    No more recommendations
    • name
    • Latest price
    • Rise and fall
    • Quote change
    Please download Oriental Fortune products to view real-time quotes and more data.
    Solemnly declare:Oriental Fortune.com publishes this information in order to disseminate more information and has nothing to do with the position of this website. Oriental Fortune Network does not guarantee the accuracy, authenticity, completeness, validity, timeliness, originality, etc. of all or part of this information (including but not limited to text, data and graphics). The relevant information has not been confirmed by this website, and does not constitute any investment advice for you. According to this operation, the risk is at your own risk.