Trump renews demand for US interest rates to be slashed to 1%, lower

US President Donald Trump on Wednesday renewed his demand for the Federal Reserve to drastically cut interest rates, arguing that the country's creditworthiness justifies historically low borrowing costs.

"Interest Rates in the United States should be 1%, or less, because we are the Best Credit in the World -- BY FAR," Trump wrote on his Truth Social platform, adding the country "is BOOMING with new Investment!"

He floated cutting trade ties with countries running surpluses against the US.

"If we stopped Trading with every country that we have a Deficit with, which is most of them, we would make, at least, 1.5 Trillion Dollars a year," he wrote.

Trump argued that "the word 'Deficit' is nothing more than a fancy word for LOSS," claiming the US is "'carrying' almost every country in the World."

"LOWER THE INTEREST RATES FOR THE UNITED STATES OF AMERICA, AND FAST!" he added.

Speaking to reporters upon landing in North Carolina later Wednesday, Trump said he spoke to Federal Reserve Chairman Kevin Warsh and said: "You might as well vote with the (Federal Reserve) board because it's not going to matter."

"The board is hostile, they're very political," he added.

"Interest rates are too high ... We should be paying the lowest interest rates anywhere in the world because we have the strongest credit," he said.

He added that he wants the Fed to be "independent."

Trump's remarks came after the Federal Open Market Committee (FOMC) led by Warsh voted unanimously Wednesday to raise the benchmark interest rate by 25 basis points, marking the central bank's first hike in more than three years, citing persistently high inflation.

Trump has repeatedly clashed with the Fed over its rate policy, calling for borrowing costs as low as 1% or less.