Jerome Powell Emphasizes Fed's Independence Amid Political Pressure

Federal Reserve Chair Jerome Powell emphasized the importance of the Fed's independence from political influence in setting interest rates, aiming to benefit all Americans rather than specific political agendas. Speaking at the New York Times' DealBook summit, Powell addressed concerns about political interference, particularly in light of President-elect Donald Trump's criticisms. He expressed confidence in congressional support for the Fed's autonomy. Powell noted that the Fed could cautiously cut interest rates as the economy remains strong and inflation has decreased, though it remains slightly above the Fed's target. Other Fed officials have also indicated potential rate cuts, depending on upcoming economic data.