Seven of 17 officials penciled in one more rate cut this year. Though hiring and spending remain solid in the U.S., investors have grown increasingly jittery about slower global growth and trade tensions. -China trade war and slowing growth in Europe and Asia - uncertainties that have weakened business spending and raised the risks of recession. It's possible the president responded to some more subtle language in the Fed's accompanying statement, highlighting trade disruption and declining exports as key risks for the United States economy.
The breakdown of the split "suggests most Fed officials still see a rebound in economic growth as their base case scenario, which means any further rate cuts would be limited", it wrote in a note to investors.
The US central bank, the Federal Reserve (Fed), has been forced to make repeated interventions in the markets this week after a spike in prices in the arcane but important repo (repurchase) market in which big banks manage cash supplies. But three of the 10 voting officials dissented from the decision, and the Fed looks divided on what to do next.
In economic projections released on Wednesday, Federal Reserve policymakers said they expect the economy to grow 2.2% this year, faster than they forecast in June. JPMorgan rose 1% as banks rose after the Fed announcement.
Though the U.S. economy continues growing at a "moderate" rate and the labour market "remains strong", the Fed said in its policy statement that it was cutting rates "in light of the implications of global developments for the economic outlook as well as muted inflation pressures".
Trump assailed policy makers just minutes after their decision Wednesday to cut the benchmark interest rate by another 25 basis points.
Their aim, they say, is to balance the potential need for lower rates against the risk that cheaper money may cause households and businesses to borrow too much, as happened in the run-up to the financial crisis more than a decade ago.
The next day, borrowers repay their loans plus what is typically a nominal rate of interest and get their bonds back.
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In response, Powell said, the central bank would do what is needed to maintain the recovery, but he views these cuts as a "mid-cycle adjustment" and "not part of a more aggressive strategy" to drive rates lower.
Trump has been unsparing in his criticism of the Fed. The BOJ had to be seen doing something after the Fed cut rates, he added. "We don't expect that", Powell said during the press conference.
The Fed is also monitoring the global slowdown, especially in Europe, and Britain's effort to leave the European Union.
At the end of a two-day meeting, the BOJ Policy Board chose to keep the short-term interest rate at minus 0.1 percent and guide long-term rates at around zero percent. But even with that extra push from the Fed, economic growth is expected to slow, possibly dipping below 2 percent.
But some analysts warned the cut could do more harm than good.
In recent days, the Trump administration and Beijing have acted to de-escalate tensions before a new round of trade talks planned for October in Washington. Bank of America fell 1%.