Washington: US President Donald Trump has once again called on the Federal Reserve to cut the policy rate by three points, attributing his request to the presence of low inflation. Trump asserted that such a move would result in substantial financial savings for the United States, potentially amounting to one trillion dollars annually. He made his appeal public through a series of posts on social media.

According to Anadolu Agency, Trump emphasized the importance of reducing the Federal Reserve's rate by highlighting the 'LOW' consumer prices, despite the annual inflation rate in the US standing at 2.7% in June, which exceeded market expectations. He reiterated his demand with a forceful message to "Bring down the Fed Rate, NOW!!!," noting that the monthly increase in consumer prices was 0.3% in June, aligning with forecasts.

The president's pleas for interest rate cuts have been persistent, often comparing the Federal Reserve's actions to those of the European Central Bank, which has implemented several rate cuts in recent years. Trump has cautioned that any delay by the Fed could potentially hinder the growth of the US economy. Despite these calls, the Federal Reserve has maintained a steady policy rate, keeping it within the range of 4.25%-4.5% during its previous meetings.

Trump's criticisms of Federal Reserve Chair Jerome Powell have been frequent and harsh, with the president previously labeling him as "terrible," "a fool," "a major loser," and a "numbskull." Recently, Trump expressed his desire for Powell to resign, stating that it would be beneficial if Powell were to step down, although he acknowledged uncertainty about whether this would happen.

In light of these developments, reports from The Wall Street Journal last week suggested that Trump is contemplating appointing White House economic adviser Kevin Hassett as the next Federal Reserve chair.