Express
Powell to Face Congressional Grilling, Potential Bipartisan Pressure
Summary: In a breaking news update, Federal Reserve Chairman Powell is set to head to Capitol Hill this week, where he will confront mounting pressure from both inside and outside the Fed to cut interest rates. This hearing could mark a departure from the central bank's tradition of staying out of politics over the past decade. ...
In a breaking news update, Federal Reserve Chairman Powell is set to head to Capitol Hill this week, where he will confront mounting pressure from both inside and outside the Fed to cut interest rates. This hearing could mark a departure from the central bank's tradition of staying out of politics over the past decade.
On Tuesday at 22:00, Powell will present the semiannual monetary policy report to the House Financial Services Committee, before moving to the Senate Banking Committee on Wednesday.
While such congressional inquiries typically focus on economic conditions and policy direction, the backdrop this time is vastly different: not only is President Trump and his administration applying continuous pressure, but there are also crucial divisions within the Fed. Fed governors Bowman and Waller recently voiced support for an interest rate cut as early as July, both of whom were appointed by Trump and are mentioned as potential candidates to succeed Powell next year.
Powell may face a bipartisan squeeze during this hearing: Republicans, following Trump's lead, are demanding an immediate loosening of monetary policy, while Democratic Senator Warren is also calling for a rate cut.
Tags:
Link: Powell to Face Congressional Grilling, Potential Bipartisan Pressure [Copy]
