Donald Trump requested the departure of Jerome Powell from the Federal Reserve after the repeated requests of low rates. Fed officials ask to respect autonomy in a talk with CBS.
The president of the Federal Reserve of Chicago, Austen Goolsbee, said Sunday that he hopes that the United States is not moving towards an environment in which the capacity of the central bank is questioned to establish a Independent monetary policy of political pressure.
Goolsbee, in response to a question in the “face the nation” program of the CBS chain about the outbursts of President Donald Trump last week against the Fed Chief, Jerome Powell, He said that economists agree that central banks that have the ability to direct monetary policy without political manipulations have better results for their economies.
For those who do not have that freedom, however, “The inflation rate is higher, growth is slower and the labor market is worse.” “I fervently hope that we do not enter an environment in which monetary independence is questionedbecause that would undermine the credibility of the Fed“He said.
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Donald Trump asked for the departure of Jerome Powell
The president of the United States, Donald Trump, He pointed again against the Chief of the Federal Reserve (FED) of the country, Jerome Powellfor his policy on interest rates and assured that he will leave his position “very fast.”
The hard message of the Republican fell after the official said that The Fed can afford to “wait” for “greater clarity” toNear the impact that the trade war will have “in areas such as immigration, taxes, regulation and tariffs” before making any change in interest rates.
Powell said the tariffs imposed by Trump are “Significantly larger than anticipated”while added: “The same will probably be true for economic effects, than They will include greater inflation and slower growth “
Then, Trump compared the attitude of the Fed with that of the European Central Bank (ECB), which reduced interest rates “for the seventh time.” “However, Jerome Powell, from the Fed, who always arrives too late and is wrong, He issued a report yesterday that was another, and typical, complete disaster, “he lashed out at his social social network.
Source: Ambito
