Fed, Trump and Jerome Powell
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Fed’s Favored Inflation Gauge Likely Stalled
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Asian stocks dithered on Thursday ahead of earnings from heavyweight technology companies and as market anxiety lingered over the uncertain tenure of Federal Reserve chief Jerome Powell.
Goldman Sachs Chief Executive David Solomon, Bank of America head Brian Moynihan and Citigroup’s Jane Fraser said on Wednesday the central bank’s ability to operate without White House or political interference is critical to the U.S. economy and financial markets. They followed JPMorgan Chase CEO Jamie Dimon, who said the same thing on Tuesday.
Federal Reserve Governor Michael Barr emphasized that regulation must evolve with the financial system, issuing a warning as Trump-era officials look to ease rules for big banks and shift to a lighter touch.
Federal Reserve Bank of New York President John Williams declined on Wednesday to comment on President Donald Trump’s attacks on the central bank and what it might mean if the president were to somehow remove the Fed’s leader from office.
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Higher tariffs put in place by the Trump White House this year have started to increase inflation, and these effects are likely to increase in the coming months, New York Fed President John Williams said Wednesday.