Powell: "If the Fed loses its independence, it will lose its credibility"

JH Kim

Summary

Fed Chair Jerome Powell said that "if the Fed loses its independence, it will lose its credibility."
Powell said he does not think the Fed will lose its independence, seeking to calm market concerns.
Controversy over a threat to the Fed’s independence has flared after U.S. federal prosecutors launched an investigation into Powell.

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Federal Reserve Chair Jerome Powell said on the 28th (local time) at a press conference after the Federal Open Market Committee (FOMC) meeting that "if the Fed loses its independence, it will lose its credibility."

He added, "I do not think it will lose its independence." Previously, controversy emerged over a threat to the Fed’s independence after U.S. federal prosecutors opened an investigation into Fed Chair Jerome Powell.