Trump threatens trade war if rates aren't cut after strong jobs report

… {"@context":"https:\/\/schema.org","@type":"NewsArticle","headline":"Trump threatens trade war if rates aren’t cut after strong jobs report","description":"President Trump called on the Federal Reserve to lower interest rates Friday after the August jobs report came in stronger than expected, threatening to cut off trade with several countries if the central bank doesn’t budge. The Bureau of Labor Statistics reported Friday that U.S. employers added 162,000 jobs last month, well above the 53,000…","datePublished":"2026-09-04T16:04:46+00:00","dateModified":"2026-09-04T19:04:15+00:00","url":"https:\/\/thehill.com\/business\/6071563-trump-trade-war-fed-interest-rates-august-jobs-report\/","mainEntityOfPage":{"@type":"WebPage","@id":"https:\/\/thehill.com\/business\/6071563-trump-trade-war-fed-interest-rates-august-jobs-report\/"},"publisher":{"@type":"Organization","name":"The Hill","logo":{"@type":"ImageObject","url":"https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2023\/03\/cropped-favicon-512px-1.png","width":512,"height":512}},"author":[{"@type":"Person","name":"Julia Shapero","url":"https:\/\/thehill.com\/?post_type=profile&p=3619646"}],"alternativeHeadline":"","articleBody":"President Trump called on the Federal Reserve to lower interest rates Friday after the August jobs report came in stronger than expected, threatening to cut off trade with several countries if the central bank doesn\u2019t budge. The Bureau of Labor Statistics reported Friday that U.S. employers added 162,000 jobs last month, well above the 53,000 that economists were anticipating. Trump touted the \u201cgreat\u201d jobs numbers Friday before quickly turning his attention to the Fed, which he has long pushed to slash rates. \u201cLower the interest rates because the U.S.A. is a much stronger credit than it was just a short time ago!\u201d he wrote in a post on Truth Social. \u201cA STRONG COUNTRY MEANS A LOWER INTEREST RATE - IT\u2019S A BETTER CREDIT.\u201d \u201cWithout the United States agreeing to allow them their big surpluses, and we could stop that immediately, they would no longer be considered financially ELITE!\u201d he added. \u201cLOWER THE RATE OR I\u2019LL STOP TRADING WITH COUNTRIES WITH WHICH WE HAVE A DEFICIT.\u201d The Fed has held rates steady at a range of 3.5 to 3.75 percent at its last five meetings, as inflation has remained persistently above the central bank\u2019s target rate of 2 percent. Annual inflation sat at 3.7 percent year over year in July, according to the personal consumption expenditures price index, the Fed\u2019s preferred measure of inflation. However, Friday\u2019s job numbers appear to increase the chances that the central bank raises rather than lowers rates. The latest data alleviates concerns that higher rates are weakening the labor market and allows the Fed to turn its attention to curtailing inflation. Traders are now pricing in a 60 percent chance that the Fed hikes rates by a quarter point at its next meeting this month, according to CME FedWatch, which tracks bets placed on future central bank decisions. Trump touted Fed Chair Kevin Warsh as a \u201cgreat new leader\u201d Friday even as he ramped up pressure on his pick to run the central bank. The president frequently feuded with Warsh\u2019s predecessor, Jerome Powell, over rate cuts, threatening to fire him on several occasions. \u201cThe Fed Board, with its great new leader, must get smart - BE PATRIOTS for a change,\u201d Trump said. \u201cHigh interest rates put the U.S.A. at a very unfair disadvantage, and I won\u2019t allow that to happen!\u201d","articleSection":"Business","genre":["Administration","Business","International"],"keywords":["Bureau of Labor Statistics","federal reserve","Interest rates","Jerome Powell","Jobs Report","Kevin Warsh","President Trump","Truth social"],"image":{"@type":"ImageObject","url":"https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/09\/AP26245664517517-e1788374475994.jpg?strip=1","name":"President Trump speaks to reporters in the Oval Office of the White House during a meeting with travel executives on Sept. 2, 2026, in Washington. ","width":1400,"height":787},"associatedMedia":[{"@context":"https:\/\/schema.org","@type":"VideoObject","name":"Kevin Hassett: Trump's economic policies are working","description":"President Trump called on the Federal Reserve to lower interest rates Friday after the August jobs report came in stronger than expected, threatening to cut off trade with several countries if the central bank doesn\u2019t budge.","thumbnailUrl":"https:\/\/h104216-fcdn.mp.lura.live\/1\/938892\/pvw_lin\/7DD\/3B9\/7DD3B9B9A85B9AB1CD3A22F004A85314_2_160x90.jpg?aktaexp=2082787200&aktasgn=87fce5d2ca2ce8d193417862899f5374","contentUrl":"https:\/\/tkx.mp.lura.live\/rest\/v2\/mcp\/video\/12139190?anvack=q261XAmOMdqqRf1p7eCo7IYmO1kyPmMB&token=%7E7yq4cpoGZAr0MS1Vb1mhVPNkDcaUpZnyJl8%3D","uploadDate":"2026-09-04T13:28:00-04:00","duration":"P0DT0H1M12S"}]} …