White House reacts to Fed interest rate hike: Economic justification is not convincing

The White House has reacted to the interest rate hike decision taken by the US Federal Reserve (Fed) at its September meeting. White House spokesperson Kush Desai, in his assessment to Fox News, stated that the decision was "quite unfortunate" from the administration's perspective.

Desai noted that President Donald Trump has long been sending clear messages regarding the direction he wants interest rates to move, stating, "The Fed's unfortunate decision today to raise interest rates, from the administration's point of view, was not based on a particularly convincing economic rationale."

At its September meeting, the Fed raised the policy rate by 25 basis points in line with expectations, bringing it to the 3.75-4 percent range.

US President Trump has been calling on the Fed to cut interest rates for some time. The White House's latest statement indicates that the tension over monetary policy between the administration and the central bank continues.

News Source: 12punto