# Trump's trade wars weakened global economy, leading to rate cut he demanded

> The Federal Reserve cut rates by a quarter point amid low inflation and risks from the US-China trade war, and markets fell because the chairman did not commit to further cuts. President Trump publicly criticized the Fed, saying the market wanted a lengthy and aggressive easing cycle.

- Date: 2019-08-01 · published 2019-08-01T12:00:00.000Z
- Category: macro · region US · magnitude low
- Page: https://feedsoft.ai/events/57511-trump-s-trade-wars-weakened-global-economy-leading-to-rate-cut-he-demanded
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Expectations of a looser policy path affect the dollar and risk assets, which in turn shape the cost of imported commodities for buyers. The trade war remains the main source of demand uncertainty.

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-10-27 | [U.S. economy rebounds in Q3 on boost from trade, but demand stalling](https://feedsoft.ai/events/39333-u-s-economy-rebounds-in-q3-on-boost-from-trade-but-demand-stalling.md) | +0.7% | -2.5% |
| DXY | 2022-09-30 | [Dollar shock threatens global economy \| Reuters](https://feedsoft.ai/events/39756-dollar-shock-threatens-global-economy-reuters.md) | -0.2% | -0.3% |
| DXY | 2022-07-25 | [Ringgit To Trade Above 4.45 Amid Weak Global Sentiment And Jumbo Fed Hike](https://feedsoft.ai/events/40750-ringgit-to-trade-above-4-45-amid-weak-global-sentiment-and-jumbo-fed-hike.md) | -0.6% | +0.5% |
| DXY | 2025-09-19 | [Fed rate cut offers Vietnam room to stabilise currency and economy](https://feedsoft.ai/events/23195-fed-rate-cut-offers-vietnam-room-to-stabilise-currency-and-economy.md) | +0.7% | +0.9% |
| DXY | 2020-03-03 | [Canadian dollar weakens as investors bet on Bank of Canada matching Fed rate cut - The Globe and Mail](https://feedsoft.ai/events/54361-canadian-dollar-weakens-as-investors-bet-on-bank-of-canada-matching-fed-rate.md) | +0.3% | +5.5% |

## Sources

- nbcnews.com: https://www.nbcnews.com/business/economy/trump-begged-rate-cut-got-one-his-trade-wars-are-n1038186

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.