By Steve Holland and Bo Erickson
WASHINGTON, Aug 31 (Reuters) – U.S. President Donald Trump on Monday told reporters in the Oval Office he has a lot of respect for Federal Reserve Chairman Kevin Warsh and that “he’ll do what he has to do” on interest rates.
Warsh in a recent speech said the U.S. central bank will “have work to do” if policymakers don’t get the confidence they need that inflation is heading down to 2%.
Trump repeatedly urges lowering interest rates. “We should pay, in my opinion, the lowest interest rates anywhere in the world by far,” Trump said on Monday.
The Fed’s preferred Personal Consumption Expenditures Price Index remained at 3.7% on an annual basis as of July. Affordability is top of mind for voters ahead of November’s midterm elections.
Central bankers will meet next month to consider any interest rate changes.
(Reporting by Steve Holland and Bo Erickson; Editing by Caitlin Webber)
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