WASHINGTON – President Donald Trump tweeted Friday that the U.S. economy is “strong and good,” and attributed fears of a looming recession to a political ploy by the mainstream media and Democrats aimed at preventing his re-election.
..willing to lose their wealth, or a big part of it, just for the possibility of winning the Election. But it won’t work because I always find a way to win, especially for the people! The greatest political movement in the history of our Country will have another big win in 2020!
— Donald J. Trump (@realDonaldTrump) August 23, 2019
Last week, the Dow Jones Industrial Average fell 800 points and the bond market signaled its first recession warning since 2007. Stocks have since recovered but the bounceback has done little to allay fears that a recession may be on the horizon.
Trump has urged the Federal Reserve to make further interest-rate cuts and to resume quantitative easing, a process through which the government increases it debt portfolio in order to pump more money into the economy.
The Fed is scheduled to hold its next meeting Sept. 17-18.
The economy grew by 2.1% in the second quarter of this year.
The national unemployment rate has stayed at 3.7% since June — a near 50-year low.
A CNN/SSRS poll released on Wednesday found that although almost two-thirds of Americans think the economy is performing well, public confidence in the economy is at its lowest point in nearly two years.
As of Friday 8:10 a.m. EDT, stock futures were up in anticipation of a scheduled speech by Fed Chairman Jerome Powell on monetary policy. Powell is set to speak at the annual meeting of the Jackson Hole Economic Policy Symposium at 10 a.m. EDT.
As of 9:30 a.m. EDT., when U.S. markets opened, the Dow Jones Industrial Average was down 129 points.
The plummet came after China announced that it will impose $75 billion worth on tariffs on U.S. imports. The tariffs will go into effect on Sep. 1.