"Warsh will lay out his commitment to the Federal Reserve: Independence is essential, as is reform of the Fed. Inflation is also a choice, he will say, a choice which the Federal Reserve must be accountable for."
"Warsh goes on to outline his commitment to independent monetary policy, saying it is 'essential' in order for the central bank to work in the best interests of the nation as a whole."
"Critics of the Oval Office have argued that President Trump's campaign of pressure on current Federal Reserve Chairman Jay Powell goes beyond the bounds of expected requests for a lower base rate."
"Markets have reacted negatively to Trump's threats to fire Powell, seeing it as a direct attack on the critical independence of the Fed."
Kevin Warsh, backed by President Trump, is set to testify before the Senate Banking Committee as a candidate for central bank chairman. He will stress the necessity of Federal Reserve independence and reform, asserting that inflation is a choice for which the Fed must be accountable. Warsh aims to address concerns about being influenced by the White House, framing pressure from policymakers as a test of independence. Critics have expressed worries about Trump's pressure on current Fed Chairman Jay Powell, which has negatively impacted market perceptions of the Fed's independence.
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]