[ad_1]
As President Donald Trump battles with criticism over his Venezuela operation and his renewed push to annex Greenland, he is now encountering backlash due to the Department of Justice’s probe into Jerome Powell, chair of the Federal Reserve. At a time when the Republican Party is likely eager to present a united front, given the high-stakes midterm elections taking place later this year, the Trump Administration’s move to open a criminal investigation into the head of the central bank of the United States has proven to be divisive.
Powell confirmed that the Federal Reserve received grand jury subpoenas from the DOJ on Friday to coincide with its criminal investigation into whether he lied to Congress last June when testifying about the Fed’s headquarters renovation project. Referring to the actions as “unprecedented,” Powell—in a video address—urged the American public to view the investigation “in the broader context of the [Trump] Administration’s threats and ongoing pressure.”
The veteran banker argued that the probe has nothing to do with the renovation project—which he vows Congress was kept abreast of—and is instead rooted in something far more sinister. “The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the President,” Powell claimed.
Further bringing into question the motivations behind the action, Powell condemned the idea that “monetary policy will be directed by political pressure or intimidation.”
Despite being appointed by Trump during his first term, Powell shares a contentious relationship with the President, who has often—and publicly—levied insults at him and called for his removal. Powell encountered Trump’s ire in April when he warned of the potential impact of the President’s controversial tariffs, highlighting the uncertainty they had caused within the economic…
[ad_2]
