Likely GOP presidential nominee Donald Trump raised eyebrows by suggesting he might seek to renegotiate the country’s $19 trillion in federal debt, WSJ chief economics commentator Greg Ip writes. But also worrisome is his elaboration that as president, he would pressure the Fed to consider the debt when setting rates.
Friday’s jobs report will keep the Federal Reserve in standby mode as it considers whether and when to push short-term interest rates higher again, diminishing the chances of a move at its next meeting in June.
Borrowing by U.S. consumers ballooned in March at the fastest pace in more than a decade. Outstanding consumer credit, a measure of non-real estate debt, posted a 10.0% seasonally adjusted annual growth rate.