Trump's trade adviser says the US economy is 'solid as a rock'
- Peter Navarro, President Trump's trade adviser, told Fox Business that the US economy is "solid as a rock."
- Navarro also insisted that in order for the economy to keep growing the Federal Reserve needs to lower interest rates and congress needs to pass the United States-Mexico-Canada trade agreement.
- The comments come on the heels of a series rate cuts from central banks around the world meant to buffer against a potentially slowing global economy.
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President Trump's trade adviser is optimistic about the US economy.
"This economy is solid as a rock," Peter Navarro, the White House trade adviser told Fox Business. "President Trump doesn't a very good economy, he wants a great economy."Navarro also said that in order for the US economy to continue growing the Federal Reserve needs to keep lowering interest rates and congress needs to pass the United States-Mexico-Canada trade agreement. The Trump administration has repeatedly attempted to pressure the fed into slashing borrowing costs. On Wednesday, the president tweeted that the fed is a bigger problem for the US economy than China.
"We need to cut, not because our economy is weak, but it's because we want to make a good economy great," Navarro said on Fox Business this morning. "The Fed cannot have interest rates which are [above] the rest of the world and expect good things to happen."
The comments come on the back of a series of rate cuts from central bank around the world as fear of a slowing global economy continue to rise. Policymakers in Thailand, New Zealand, and India moved to lowered borrowing costs on Wednesday leading global stocks to rally from a sharp sell-off earlier in the week.
It also follows the fed's July easing, which marked the first time the central bank lowered rates since the 2008 financial crisis.
Trump's trade adviser also called out China for allegedly devaluing its currency over the past year to counteract US tariffs. Earlier this week, China let the value of the yuan slip below 7 yuan per US dollar, a key psychological level that prompted the Trump administration to label the country a currency manipulator."We put on tariffs at 10% and the yuan goes down 12%," Navarro said. "They're basically trying to offset the effect of the tariffs."