Mr Trump also suggested that higher interest rates left the United States at a disadvantage when compared to the European Union, China and Japan, allowing their currencies to weaken as the USA dollar strengthens.
On Friday morning, Trump for a second day also criticized the Federal Reserve, breaking with a long-standing tradition at the White House of avoiding any influence, real or perceived, on the independence of the US central bank.
The U.S. dollar fell against major currencies on Friday on Trumps threat to impose more import tariffs and his repetition of complaints about rising interest rates and the strength of the U.S. dollar.
Earlier this month, the United States imposed tariffs on $34 billion of Chinese imports. The dollar's gains, meanwhile, were eroding "our competitive edge", the president said, adding that the Federal Reserve's decision to tighten monetary policy "now hurts all that we have done".
President Trump took a pot shot Thursday at the Federal Reserve for eyeing another interest rate hike that could slow America's strong economic growth. The US should be allowed to recapture what was lost due to illegal currency manipulation and BAD Trade Deals.
The threat to place tariffs on all Chinese goods sent to the U.S. would effectively end the tit-for-tat trade battle between the two nations, as Chinese imports from the United States are a comparatively small $129.9 billion.
There is already pushback in the USA from businesses that will take a hit in an escalating trade war.
The dollar began taking a hit on Thursday after Trump suggested that the Fed's policy of raising USA interest rates was pushing up the dollar, in turn hurting American exporters. And because we live in a reality where logical human behavior reigns supreme, the president has remained demure on all Fed-related topics this morning...
Former President Richard Nixon was criticized for bullying the Fed into keeping interest rates low, pressure that led to debilitating inflation.
The Fed has hiked interest rates twice this year and could jack the rate up twice more before year's end.
CNBC said, "The Fed's independence from political interference has been a hallmark of its existence, so Trump's remarks have little precedent".
"And the reason it was brilliant is he was looking back at President Bush and President Reagan - both of whom had publicly grumbled about the Fed raising rates", Low noted.
"I'm not doing this for politics, I'm doing this to do the right thing for our country", the president said.
European auto shares.SXAP, sensitive to trade tensions as US officials work towards slapping tariffs on vehicle imports, fell 2.1 percent. Fed officials have stressed that they will continue to raise borrowing costs only if the economy keeps improving.
Trump said shortly after his first meeting with Chinese President Xi Jinping in 2017 that the country had stopped manipulating its currency because of his election.
"In China their currency is dropping like a rock and our currency is going up, and I have to tell you it puts us at a disadvantage".