Former President Donald Trump is turning up the heat on the Federal Reserve, calling for immediate interest rate cuts as inflation pressures ease and markets struggle under the weight of a renewed trade war.

In a Truth Social post Monday, Trump emphasized declining prices across key economic sectors, stating, “Oil prices are down, interest rates are down (the slow moving Fed should cut rates!), food prices are down, there is NO INFLATION.” He also touted tariff revenue as a win for the U.S., claiming billions are pouring in each week from foreign nations “already abusing” the country.

The remarks follow a major escalation in Trump’s trade policy. Last week, he sharply increased tariffs on Chinese imports, raising the total rate to 54%. China responded with a 34% retaliatory hike of its own, escalating tensions and rattling financial markets. The Nasdaq, heavily weighted toward tech, has dropped to levels not seen since early 2024, while Bitcoin briefly slipped under $75,000.

Oil markets have not been spared. West Texas Intermediate crude has plunged 16% over just four trading sessions, hitting $60 per barrel amid OPEC’s decision to raise output. The slide in energy prices adds to broader disinflationary signals in the global economy, reinforcing Trump’s claim that inflation is no longer a threat.

Trump’s push for lower interest rates is in line with market expectations, which currently price in up to five rate cuts by the Fed this year. Monetary easing, many believe, could serve as a buffer against the economic impact of heightened tariffs and slowing global growth.

In the same post, Trump criticized China for its countermeasures, declaring it “the biggest abuser of them all” and blaming previous U.S. administrations for allowing trade imbalances to persist. “They’ve made enough, for decades, taking advantage of the Good OL’ USA!” he said. Over the weekend, he reaffirmed that he would not consider a trade deal with China unless the trade deficit is fully addressed.

With inflation slowing and geopolitical tensions rising, Trump’s aggressive rhetoric is putting the Fed in the spotlight—once again caught between political pressure and economic uncertainty.