Atlanta Fed President Raphael Bostic said on Monday he was maintaining his expectation for one more interest rate hike this year, as trade tensions and worldwide events add some downside risk to an otherwise strong U.S. outlook.
Following reports of Trump's speech, the U.S. dollar fell DXY, -0.21%.
Trump, who spooked investors in July when he criticized the USA central bank's monetary policy tightening, told Reuters in an interview that he believed the Fed should be more accommodating. "I'm not thrilled", Trump said in the interview, referring to Powell.
"I asked him specifically about the independence of the Fed, and he reinforced the fact that their goal is to [address] unemployment, our economy, and that is their only objective", Scott (R-S.C.) said in an interview.
Past presidents from both parties have sought to insulate the central bank from political pressure, anxious it could taint the Fed's decision-making and erode its credibility with the public.
Recent presidents have largely avoided criticising the Fed, trying to preserve the bank's independence and its credibility with financial markets, foreign governments and the public.
The president's top economic advisers have repeatedly urged Trump not to attack the Fed. Trump said to Reuters about Powell.
Turkey has sharply increased tariffs on American goods
Turkey accuses Brunson of being a spy and says he was involved in an attempted coup. The lira strengthened some 4 percent against the dollar, to around 5.75 per dollar.
But that stands in contrast with the president's own words, which are often very critical of Powell and suggest the Fed should be moving in a different direction. Tim Scott last week, said he had not spoken to President Trump about interest rates and would remain independent from political interference, the Republican senator said.
"Presidents have always made comments on how they think economic policy should be made, and I've not heard any effort by the president to try to interfere", said Senate Banking Committee Chairman Mike Crapo (R-Idaho).
The Fed declined to comment, but former Fed officials expressed alarm at Trump's repeated criticism.
"I don't see their (the Fed's) actions as being particularly affected by all this", he said. The Fed has raised interest rates five times since Trump took office in January 2017, with two of those coming this year under Powell.
Wall Street analysts near universally expect the Fed will raise rates at its next meeting at the end of September.