Trump visits Fed ahead of FOMC meeting, amping up pressure to lower rates

And a muted confrontation between the U.S. leader and the head of the U.S. central bank took place on Thursday just ahead of the Federal Reserve's policy meeting next week.

Moon Ji-young covers the interaction and more.

U.S. President Donald Trump engaged in another subtle, tension-filled bout with Federal Reserve Chairman Jerome Powell, this time at a construction site.

In a rare visit on Thursday to the Federal Reserve, less than a week before the FOMC meeting, Trump inspected what he calls the "costly" renovation of the central bank's buildings.

"So we're taking a look, and it looks like it's about 3.1 billion. Went up a little bit or a lot. So the 2.7 is now 3.1."

In response to Trump's cost allegations, the Fed leader noted that it appeared the president had included the cost of overhauling another central bank office in the current repair cost for two buildings.

"No, it's been it was built five years ago. We finished Martin five years ago."

This tense exchange unfolds amid the Trump administration's consistent criticisms of Chairman Powell's stewardship of the independent agency and its decision not to cut interest rates this year, a move strongly demanded by Trump.

Trump reiterated his stance that the Fed's position on interest rates was hindering economic progress.

He stated that:

"Well, I'd love him to lower interest rates, but other than that, what can I tell you? The country's doing really well."

After the visit, Trump said it was not necessary to fire Powell although he has previously raised the possibility of getting rid of the Fed leader.

President Trump has explicitly called for the Federal Reserve to lower key rates by three percentage points.

However, the U.S. central bank has held interest rates in the 4-point-2-5 percent to 4-point-5 percent range throughout the year, as it monitors the potential economic impact of tariffs.

Presidential visits to the Federal Reserve are uncommon, with former President George W. Bush's visit in 2006 marking the last such occasion before this event.

Moon Ji-young, Arirang News.