Former Federal Reserve Chair Jerome Powell says the Fed would lose the credibility needed to support a strong and stable US economy if the president can dismiss central bank officials over disagreements. Powell makes the comments in the context of ongoing US political and legal disputes over the independence of the Federal Reserve. Multiple reports say his remarks come as the US Supreme Court considers the situation involving Federal Reserve Governor Lisa Cook, including whether the administration can remove her amid allegations related to mortgage fraud. The issue is tied to Donald Trump’s efforts to fire Cook, according to the accounts. Powell’s central point is that the Fed’s effectiveness depends on officials being insulated from direct political control, particularly when disagreements arise over monetary policy. The outlets describe Powell’s stance as a defense of the institutional structure that limits presidential influence over Fed personnel decisions. Overall, the reporting frames Powell’s warning as a concern about maintaining public and market trust in the Fed’s independence and decision-making.
Powell warns Fed credibility could erode if president can fire officials
Former Federal Reserve Chair Jerome Powell says the Fed would lose the credibility needed to support a strong and stable US economy if the president can dismiss central bank officials over disagreemen...
- Jerome Powell says the Fed would lose credibility if a president can fire Fed officials over policy disagreements.
- Powell’s comments focus on the importance of Fed independence for economic stability.
- The remarks are made amid a US Supreme Court review involving Federal Reserve Governor Lisa Cook.
- Reporting links the case to Donald Trump’s bid to remove Cook over mortgage fraud-related allegations.
- Multiple outlets portray Powell’s view as tied to maintaining trust in the Fed’s decision-making.
Jerome Powell’s remarks come as the Supreme Court weighs Federal Reserve governor Lisa Cook’s fate amid Donald Trump’s bid to fire her over mortgage fraud allegations.
2 months agoPowell exited the top job at the Fed earlier this month with a legacy in part defined by his defense of the central bank against relentless pressure from Trump and his allies
2 months agoFormer Federal Reserve Chair Jerome Powell said the US central bank would lose the credibility that’s required to support a strong and stable economy if any president were free to dismiss Fed officials over policy disagreements.
2 months ago
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