Westpac Banking: DOJ Investigation of Powell Signals Government Pressure on Federal Reserve Escalates

Deep News
01/14

Westpac Banking Chief Economist Lucy Ellis stated that the U.S. Department of Justice's investigation into Federal Reserve Chair Powell and the potential criminal charges signify a new level of government attempts to coerce the Fed on monetary policy. The former senior member of the Reserve Bank of Australia's management pointed out that Powell's firm response is both reasonable and expected. Ellis noted that the broad support Powell has received indicates that President Trump's ability to pressure the central bank has its limits. She added that multiple significant events could occur in the central banking sphere in the coming weeks.

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