[Trump Calls Again for Interest Rates to Drop to 1% or Lower, While the Fed Emphasizes Inflation Risks and Raises Rates] According to Reuters, U.S. President Trump has recently reiterated his call for U.S. interest rates to drop to 1% or even lower, a goal that only he has publicly proposed so far. Meanwhile, the Federal Reserve is "going against him," raising the federal funds rate target range to 3.75%-4.00%. The divergence over the path of interest rates has become one of the most apparent conflicts between the White House and the Federal Reserve's policy logic. After the Fed's rate hike in September, Trump stated that U.S. interest rates "should be 1% or lower," reasoning that the U.S. has the world's best credit and its economy is increasing investment. He believes that lower financing costs could further stimulate corporate investment, reduce government debt costs, and enhance the competitiveness of the U.S. economy. However, Federal Reserve officials have a completely different assessment. Boston Fed President Collins expressed her support for the recent rate hike and warned that future inflation could be "significantly higher" than the 2% target level.