On Friday, President Donald Trump issued a threat against the United States’ top trading partners that has even MAGA loyalists declaring him “totally unhinged.” According to a rambling Truth Social post, Trump will “stop” trade with key partners if the Fed doesn’t give in to his demands for lower interest rates.
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“Great jobs number just announced, breaking all estimates (except mine!) by double and triple — and you haven’t seen anything yet!” posted trump, referring to Friday’s positive jobs report. “Employers added 162,000 job in August. Lower the interest rates because the U.S.A. Is a much stronger credit than it was just a short time ago! A strong country means a lower interest rate — it’s a better credit… very simple! We should have the lowest rate of any country in the world, like ‘the old days.’ without the United States agreeing to allow them their big surpluses, and we could stop that immediately, they would no longer be considered financially elite!”
It was here trump issued his threat: “Lower the rate or I’ll stop trading with countries with which we have a deficit, which the U.S. Supreme Xourt, in its ridiculous and very costly tariff decision, strongly acknowledged ‘the president’ has an absolute right to do. It’s better than tariffs! The fed board, with its great new leader, must get smart — be patriots for a change. High interest rates put the U.S.A. At a very unfair disadvantage, and I won’t allow that to happen!”
Trump is wrong in his assertion that low interest rates translate into better credit. In fact, one of the very reasons the U.S. has high rates at the moment is because the country is struggling with its debt burden. What’s more, the strong jobs report he’s touting could actually result in an increase in rates to quell inflation in the face of low unemployment. Then there’s Trump’s threat to cut off trade. Besides the fact that he simply doesn’t appear to understand what a trade deficit actually is in the first place, as even some of his supporters have noted, cutting off trade as he’s suggested would destroy the U.S. economy.
“Trump is now threatening to stop trade with every country we run a trade deficit with, unless the Fed cuts rates,” warned Geiger Capital, a pseudonym account for a popular conservative market analyst who voted for Trump in 2024. “Absolutely unhinged.”
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“This truly is unhinged,” agreed an entrepreneur who frequently posts pro-MAGA content.
According to another self-proclaimed conservative reply, Trump is “going to push us into another great depression.”
And as one MAGA poster declared, “He needs to be removed from office. Lunatic is gonna sink us.”
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“Bro…” Geiger Capital posted later, “just get out of the Middle East.”
