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Goldman Sachs says traders think Trump's tweets really do affect Fed policy

Trump China Tariff Tweet

  • Trump often takes to Twitter to both criticize the Federal Reserve Chief and to vocalize trade policy. 
  • Goldman Sachs analyzed just how much of an effect these Tweets are having on markets. 
  • Traders and investors believe that his Tweets do indeed influence Fed policy, albeit via trade.
  • "Markets believe that the President primarily affects Fed policy indirectly by influencing the macroeconomic outlook," economist Ronnie Walker wrote.
  • View Markets Insider's homepage for more stories.

Donald Trump isn't shy about tweeting his opinions on the Federal Reserve and the trade war.

Goldman Sachs crunched the numbers on the impact, analyzing the president's Tweets to find that "the evidence that President Trump's trade-related tweets affect market expectations of Fed policy is strong."

See the rest of the story at Business Insider

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