"Trump has recently renewed his attacks on Jerome Powell, the chair of the Fed, following a sharp slowdown in job growth throughout the summer. He has also demanded a bigger rate cut than Powell and his colleagues on the Federal Open Market Committee (F.O.M.C.), which holds eight scheduled meetings each year to determine monetary policy, are likely to deliver, though that is the least of his efforts to exert control over the central bank."
"But he is pressing ahead with his effort to oust another Fed governor, Lisa Cook, whom one of his minions, Bill Pulte, the director of the Federal Housing Finance Agency, has accused of mortgage fraud. Last week, a federal judge said Trump hadn't "stated a legally permissible cause for Cook's removal," and allowed her to remain in her role. The Administration promptly appealed the ruling, asking a circuit court to allow it to forge ahead with Cook's dismissal before the meeting, which starts on Tuesday."
Policymakers at the Federal Reserve will meet soon to set a key interest rate amid renewed presidential pressure. The President has escalated attacks on the Fed chair and demanded larger rate cuts than the Federal Open Market Committee is likely to provide. The Administration has moved to fill a Board vacancy and pursued removal of a sitting governor through accusations and legal appeals. A federal judge recently blocked that removal for lack of legally permissible cause, but the Administration appealed. The situation presents an unprecedented strain on the institution's independence and governance.
Read at The New Yorker
Unable to calculate read time
Collection
[
|
...
]