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Trump on May Jobs Growth: 'Stock Market Should Rise... It's Not Inflation'
🇰🇷 South Korea /Economy & Trade

Trump on May Jobs Growth: 'Stock Market Should Rise... It's Not Inflation'

From Dong-A Ilbo · () Korean

Translated from Korean, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • U.S. President Donald Trump expressed dissatisfaction with the stock market's decline following a stronger-than-expected jobs report, arguing the market should rise.
  • Trump asserted that economic growth does not necessarily equate to inflation, questioning how a nation can be great otherwise.
  • The market's dip is attributed to expectations that the Federal Reserve may delay interest rate cuts due to robust job growth, despite Trump's calls for lower rates.

President Donald Trump voiced frustration over the stock market's downturn, despite a robust U.S. jobs report for May. "The stock market should be going up, not down," Trump stated on his social media platform, Truth Social, adding that the market "has been doing that for 200 years."

The Labor Department reported that nonfarm payrolls increased by 172,000 in May, significantly exceeding the 80,000 forecast by economists. Revisions to job gains in March and April also showed upward adjustments, while the unemployment rate held steady at 4.3%.

The stock market should be going up, not down, because we just had a great jobs report.

— Donald TrumpTrump expressed his view on the stock market's reaction to the May jobs report.

Despite the positive employment figures, the New York stock market experienced a decline. This trend is fueled by the expectation that the Federal Reserve might postpone interest rate cuts given the strong labor market. Trump's comments suggest he is indirectly pressuring the Fed to lower its benchmark interest rate.

Analysts anticipate that the new Federal Reserve Chairman, Kevin Wash, who took office on May 22, will not easily lower interest rates, contrary to Trump's expectations. Market participants largely expect the Fed to maintain current rates at its upcoming Federal Open Market Committee (FOMC) meeting, with a 96.2% probability of a rate freeze.

Growth does not necessarily mean inflation. Otherwise, how can a country be great?

— Donald TrumpTrump argued against the notion that strong economic growth automatically leads to inflation.
DistantNews Editorial

Originally published by Dong-A Ilbo in Korean. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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