Trump is actually pretty smart about some things
“I personally think the Fed should drop rates... You would see a rocket ship.” -Trump
He’s actually right. If the fed dropped interest rates the stock market would soar. It would be like free cheap money for all the corporations which would use it to reinvest in themselves, acquire other companies, attempt riskier bets, increase hiring and grow across the board which would led to further growth in the economy.
Now whether this is good for the economy in the long term or not (basically we are continuing to inflate the bubble) is up for debate. But it is definitely good for the short term and will help Trump’s re-election chances. Basically as long as the economy is doing good in 2020 Trump is going to win re-election by a landslide. One way to keep inflating the bubble and prop up the stock market is to lower rates, and he knows this.
I’m not a Trump supporter or anything, I’m just stating the facts.