SBP editorial: Trump antics risk undermining Fed

Financial markets are unpredictable. Stocks go up and down, investors come and go, profits rise and fall. Yet rarely can investors’ reaction to a cut in interest rates have been as capricious as last week’s fall in the world’s stock markets after the US Federal Reserve cut rates for the first time in over a decade.

After months of signalling, the Fed reduced its benchmark interest rate on Wednesday by 25 basis points. ...