A group of Senate Democrats has called on the Federal Reserve's internal watchdog to investigate a meeting that took place between the Fed's top banking regulator and financial market participants during the central bank's official "quiet period."
The senators highlighted that Federal Reserve Vice Chair for Supervision Michael Bowman attended a Bank of America client event immediately following the conclusion of the June 16-17 Federal Open Market Committee (FOMC) meeting. In a letter, they wrote, "We request" that the Fed's Inspector General "review whether her attendance or remarks violated any law, rule, regulation, policy, or procedure, and whether the Federal Reserve's current regulatory framework governing such outside activities should be strengthened."
The letter was jointly signed by Senators Elizabeth Warren, Jack Reed, and Chris Van Hollen and was addressed to Federal Reserve Inspector General Michael Horowitz.
Federal Reserve rules prohibit central bank officials from making public comments on monetary policy matters in the days immediately preceding and following an FOMC meeting.
In a statement released by the Federal Reserve, Bowman stated that she did not violate central bank policy. "I did not share my views on monetary policy. I have always complied with all applicable FOMC and ethics rules and will continue to firmly adhere to these requirements," the official said in the statement.
Comments