Back

Federal Reserve Chair Jerome Powell Says Attacks Risk Central Bank Policy Independence

Jerome Powell said attacks on the Federal Reserve (U.S. central bank) could weaken the institution’s ability to conduct monetary policy.

Summary

Federal Reserve Chair Jerome Powell said attacks on the Federal Reserve (U.S. central bank) put at risk the institution’s ability to conduct policy and are battering the institution. The remarks point to concern about pressure on central bank independence, a principle closely watched by financial markets because it affects confidence in interest-rate decisions, inflation management, and broader market stability. No additional details about the attacks were provided in the source text.

Terms & Concepts
  • Federal Reserve: The central bank of the United States, responsible for monetary policy, financial stability, and supervision of parts of the banking system.
  • Monetary policy: Actions by a central bank to influence borrowing costs, money supply, and economic activity, usually through interest rates and liquidity tools.