European Central Bank Governing Council member Martin Kocher stated that U.S. President Donald Trump's recent criticisms of the Federal Reserve appear to target the independence of monetary policy.
Kocher told reporters on the sidelines of the Central and Eastern Europe Forum in Vienna on Tuesday, "What is concerning is that some issues involved here seem not to pertain to certain legal aspects, but to monetary policy, which is at the core of independence."
He further commented, "The concern lies with monetary policy itself, and the potential influence of politicians and politics on monetary policy. We need this independence to function effectively."
Kocher added, "Markets have already reacted to what is happening in the United States, so naturally attention is paid to events there. When it comes to central bank independence, people also observe developments worldwide. We all hope for stability in financial markets."
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