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Trump says U.S. should have the world’s lowest interest rates

Trump says U.S. should have the world’s lowest interest rates

Trump renewed pressure on the Federal Reserve ahead of its policy decision, praised recent inflation data and said Fed Chair Kevin Warsh would need backing from other policymakers he described as political.

Fact Check
Multiple sources, including high-authority primary reporting from Reuters and Forbes, corroborate that Trump repeatedly demanded the U.S. have the world's lowest interest rates, pressured the Fed to cut rates, criticized Fed governors as political, and referenced Kevin Warsh as Fed chair. The two secondary news sources dated July 28, 2026 directly report the specific claim's statements about Warsh working with the board.
Summary

President Donald Trump again called on the Federal Reserve to lower interest rates, saying the United States should have the lowest borrowing costs in the world and arguing cheaper financing could support much faster economic growth. He praised recent inflation data, saying costs were falling rapidly after consumer prices fell 0.4% month on month in June, annual inflation slowed to 3.5% from 4.2% in May, and core inflation eased to 2.6%. Trump said some members of the Federal Reserve Board were acting “politically” and that Fed Chair Kevin Warsh wanted to “do the right thing” but needed the consent of other policymakers. Warsh took office as Fed chair on May 22 after succeeding Jerome Powell. Trump nominated him on March 4, and the Senate confirmed him as a Fed governor on May 12 and as chair on May 13. The remarks came ahead of the Fed’s July 28-29 policy meeting, with the benchmark rate held in a 3.5%-3.75% target range since the start of the year. Separately, Goldman Sachs said oil-market volatility was shifting investor attention toward macro risks including inflation, growth and a more hawkish Fed outlook, while expecting rates to remain unchanged at the meeting.

Terms & Concepts
  • Federal Reserve: The U.S. central bank, which sets interest rates and conducts monetary policy.
  • core inflation: An inflation measure that excludes food and energy prices to show underlying price trends.
  • benchmark interest rate: A policy rate that helps shape borrowing costs across the economy.