Federal Reserve Chairman Kevin Warsh has countered the pressure campaign from President Donald Trump directed at the Fed. He stated that the Fed's independence will remain unchanged, regardless of the President's demands.
"We have a long history as an independent central bank," Warsh said. "We will continue to maintain our position as an independent central bank today; there will be absolutely no wavering on this point."
This statement represents the first test Warsh has faced since taking office. Previously, Trump had frequently criticized Jerome Powell's interest rate policies over the years, accusing him of being too slow in cutting rates. Warsh subsequently succeeded Powell as Fed Chair.
Powell's term as Fed Chair ended earlier this year. During his tenure, he repeatedly defended the Fed's independence, emphasizing that Fed officials formulate policy based solely on economic data and would never yield to political pressure.
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