The Fed May Show Trump No Love

by Peter Schiff, GoldSeek:

Right up until his election, Trump argued, correctly in my view, that statistics suggesting economic strength, such as the employment or GDP reports, were fake news designed to hide the truth of a faltering Obama economy. He similarly argued, also correctly in my view, that stock market gains were evidence of a “big, fat, ugly bubble” created by the Fed in order to bail out Obama’s bad economic policies. But the day after the election, all that changed. Now he claims that the very same statistics (which haven’t moved much over the past year) are proof of his success. Gone are the claims that employment and GDP reports are fakes. Similarly, he has fully embraced the 18% rally on Wall Street since right before his election as proof of his deft economic stewardship. The fact that he is placing his own neck clearly on the chopping block does not seem to deter him at all.

The President’s gambit does present the Federal Reserve with a huge opportunity to exert political power. There can be little doubt that Trump does not enjoy tremendous support from the members of the Fed’s Open Market Committee, who are generally drawn from the center to the center-left of the economic spectrum

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