President Donald Trump is continuing his push for lower interest rates to save an estimated $1 trillion on debt payments amid promising news that inflationary pressures predicted by Trump tariff detractors are overstated.
"Consumer Prices LOW," Trump said Tuesday morning on Truth Social. "Bring down the Fed rate, NOW!!!"
Trump followed that post with the message to cut interest "rates by 3 points" amid a cooling inflation period, a continued swipe at Federal Reserve Board Chair Jerome Powell.
"Fed should cut rates by 3 points," Trump wrote minutes after the first. "Very Low Inflation. One Trillion Dollars a year would be saved!!!"
While Trump's remarks hail the lower than anticipated consumer price index numbers released Tuesday, media outlets are noting inflationary pressure is ticking up from a month prior, pointing the finger at Trump tariffs.
That latter analysis delivered by media outlets carries the same messaging Powell has made publicly in not bending to Trump's urgings on reducing interest rates — even if temporarily amid a cooling inflation period, Trump has argued.
Trump has noted his tariffs might ultimately raise prices, but those trade deals remain in flux as Trump uses the leverage of tariffs to secure better trade conditions and tariffs with foreign trade partners. And, Trump has stated, the Fed chair could just raise rates back again if inflation due to long-term tariffs ultimately kicks in.
The consumer price index (CPI) was up 2.7% from a year ago in June, rising from the 2.4% figure in May as energy costs rose, said the Department of Labor.
But, as Trump and analysts note, that figure was lower than expected on anticipated impacts of Trump's tariffs.
Eric Mack ✉
Eric Mack has been a writer and editor at Newsmax since 2016. He is a 1998 Syracuse University journalism graduate and a New York Press Association award-winning writer.