Just in case he hadn't already made his position re: interest rates clear to the FOMC, President Trump apparently wanted to make sure policy makers know their place shortly after their two-day meeting began on Tuesday. After calling for QE4 and rate cuts earlier this month, Trump is now calling on the central bank to slash interest rates by a full percentage point, which would bring the Fed funds target rate back to 1.25%-1.5%, a level it hasn't seen in more than a year. Trump also praised Beijing's latest massive credit injection and despite surprisingly strong Q1 GDP growth, "with our wonderfully low inflation, we could be setting major records and at the same time make our national debt start to look small." Of course, during its last meeting, Jerome Powell made clear that the central bank would 'pause' its rate-hike plans for at least the duration of this year. China is adding great stimulus to its economy while at the same time keeping interest rates low. Our Federal Reserve has incessantly lifted interest rates, even though inflation is very low, and instituted a very big dose of quantitative tightening. We have the potential to go... — Donald J. Trump (@realDonaldTrump) https://twitter.com/realDonaldTrump/status/1123285120864092162?ref_src=twsrc%5Etfw!function(d,s,id){var js,fjs=d.getElementsByTagName(s)[0],p=/^http:/.test(d.location)?'http':'https';if(!d.getElementById(id)){js=d.createElement(s);js.id=id;js.src=p+"://platform.twitter.com/widgets.js";fjs.parentNode.insertBefore(js,fjs);}}(document,"script","twitter-wjs"); ....up like a rocket if we did some lowering of rates, like one point, and some quantitative easing. Yes, we are doing very well at 3.2% GDP, but with our wonderfully low inflation, we could be setting major records &, at the same time, make our National Debt start to look small! — Donald J. Trump (@realDonaldTrump) https://twitter.com/realDonaldTrump/status/1123287154833203200?ref_src=twsrc%5Etfw!function(d,s,id){var js,fjs=d.getElementsByTagName(s)[0],p=/^http:/.test(d.location)?'http':'https';if(!d.getElementById(id)){js=d.createElement(s);js.id=id;js.src=p+"://platform.twitter.com/widgets.js";fjs.parentNode.insertBefore(js,fjs);}}(document,"script","twitter-wjs"); Surprisingly, stocks haven't ramped despite the president moving the goal posts on his rate-cut demands to call for even steeper cuts as US data has at least nominally improved and US stocks have soared to all time highs. A clear pattern has emerged for Trump's monetary policy demands: The higher the highs in stocks, the steeper the cuts in rates. How long until Trump calls for the Fed to lower rates all the way back to zero?