*By Amanda Weston*
If the Federal Reserve continues to raise interest rates, the country may be in for "debt crisis," something "we've been warning about for years," said GOP Congressman Tom Reed.
"The problem we face is, with this growing economy, this huge economy that is just booming across the country, I don't know how the Fed can continue to raise interest rates," Rep. Tom Reed (R-NY) told Cheddar Thursday.
The Dow Jones Industrial Average was down almost 300 points [Thursday afternoon](https://cheddar.com/videos/selloff-spreads) after dropping more than 800 points Wednesday. The S&P was also down for its sixth straight day.
The continued sell-off came after President Trump sharply criticized the Fed on Wednesday night, [saying it's "going wild"](https://www.reuters.com/article/us-usa-trump-fed/trump-calls-loco-federal-reserve-too-aggressive-fox-interview-idUSKCN1ML1TA) with interest rates.
Reed praised the president for his "disruptive style, a unique style."
"I appreciate that," Reed said.
"But I think what I'd focus on, and what people should focus on, is what policy do we have to worry about with the actions of the Fed?" he asked. "And the policy that I'm very concerned about is, how do they control inflation when they cannot raise interest rates like they have historically? And that is the problem because the Fed can't raise these interest rates that much higher without igniting a debt crisis going off, and they know it."
The market's sell-off coincides with another shake-up in the countryー the confirmation of Justice Brett Kavanaugh, who officially took his seat on the Supreme Court this week. After dramatic testimony from the Justice and one of his accusers, Prof. Christine Blasey Ford ー who alleged Kavanaugh assaulted her when the two were in high school ーan FBI investigation, and a tense 50-48 vote, Kavanaugh was sworn-in, still shrouded by controversy.
Reed said Kavanaugh will carry his existing history on the bench to his new role as Supreme Court Justice.
"The last few weeks, in my humble opinion, has been very sad for the entire country on both sides ー from Dr. Ford's perspective, from Brett Kavanaugh's perspective," Reed said. "To see now, in my opinion, the weaponization of sexual assault for political purposes, it's just a place I never thought we would go as a country."
This echoes Trump's [previous comments](https://www.cnn.com/2018/10/02/politics/trump-scary-time-for-young-men-metoo/index.html) expressing concern for men who might be falsely accused of assault in the future.
Reed added "the Kavanaugh situation" may have motivated voters who had previously planned to opt out of the midterms, potentially allowing Republicans to maintain their control of the House.
For full interview [click here](https://cheddar.com/videos/rep-reed-talks-trump-haley-kavanaugh-and-hurricane-michael).
A new poll finds most U.S. adults are worried about health care becoming more expensive.
The White House budget office says mass firings of federal workers have started in an attempt to exert more pressure on Democratic lawmakers as the government shutdown continues.
President Donald Trump says “there seems to be no reason” to meet with Chinese leader Xi Jinping as part of an upcoming trip to South Korea after China restricted exports of rare earths needed for American industry. The Republican president suggested Friday he was looking at a “massive increase” of import taxes on Chinese products in response to Xi’s moves. Trump says one of the policies the U.S. is calculating is "a massive increase of Tariffs on Chinese products coming into the United States." A monthslong calm on Wall Street was shattered, with U.S. stocks falling on the news. The Chinese Embassy in Washington hasn't responded to an Associated Press request for comment.
Most members of the Federal Reserve’s interest-rate setting committee supported further reductions to its key interest rate this year, minutes from last month’s meeting showed.
From Wall Street trading floors to the Federal Reserve to economists sipping coffee in their home offices, the first Friday morning of the month typically brings a quiet hush around 8:30 a.m. eastern, as everyone awaits the Labor Department’s monthly jobs report.
The Supreme Court is allowing Lisa Cook to remain as a Federal Reserve governor for now.
Rep. John Moolenaar has requested an urgent briefing from the White House after Trump supported a deal giving Americans a majority stake in TikTok.
A new report finds the Department of Government Efficiency’s remaking of the federal workforce has battered the Washington job market and put more households in the metropolitan area in financial distress.
A new poll finds U.S. adults are more likely than they were a year ago to think immigrants in the country legally benefit the economy. That comes as President Donald Trump's administration imposes new restrictions targeting legal pathways into the country. The Associated Press-NORC Center for Public Affairs Research survey finds Americans are more likely than they were in March 2024 to say it’s a “major benefit” that people who come to the U.S. legally contribute to the economy and help American companies get the expertise of skilled workers. At the same time, perceptions of illegal immigration haven’t shifted meaningfully. Americans still see fewer benefits from people who come to the U.S. illegally.
Shares of Tylenol maker Kenvue are bouncing back sharply before the opening bell a day after President Donald Trump promoted unproven and in some cases discredited ties between Tylenol, vaccines and autism. Trump told pregnant women not to use the painkiller around a dozen times during the White House news conference Monday. The drugmaker tumbled 7.5%. Shares have regained most of those losses early Tuesday in premarket trading.
