Even as Trump complains, the Fed is moving more slowly to raise interest rates than it has in previous economic expansions. Rates are low by historical standards given an unemployment rate below 4 percent and, in recent months, accelerating economic growth.
Powell and his colleagues have justified a cautious approach toward increasing rates by pointing to sluggish inflation, which has shown few signs of jumping significantly past the Fed’s 2 percent target.
The Fed last raised rates in June, to a target range of 1.75 percent to 2 percent. That’s seen by most economists as below the so-called neutral rate of interest by about 1 percentage point, meaning the Fed is still adding fuel to U.S. growth rather than restraining the economy.
The Fed has penciled in two more interest rate increases this year, according to projections it updated in June. Investors see a 90 percent chance that the Fed will raise rates at its September meeting.
White House spokesman Hogan Gidley and Federal Reserve spokesman David Skidmore declined to comment.
About 60 people attended Trump’s fundraiser at the Southampton home of Howard Lorber, the chairman of hot dog company Nathan’s Famous. Guests included Chicago Cubs co-owner Todd Ricketts; John Catsimatidis Jr., the son of Red Apple Group Chairman John Catsimatidis; Republican National Committee Chairwoman Ronna Romney McDaniel; Commerce Secretary Wilbur Ross; Treasury Secretary Steven Mnuchin; White House Chief of Staff John Kelly; and senior White House aides Jared Kushner and Dan Scavino.
Trump held a discussion with a small group and then made remarks to a larger audience over a dinner of salad with chicken in a tent in Lorber’s yard. It was a humid night and Trump joked that Lorber could have afforded better air conditioning, according to one of the people.
An RNC spokeswoman said the event raised about $3 million for the Trump Victory Committee, which benefits both the president’s campaign and the Republican Party.
This article was provided by Bloomberg News.