Fed’s George Says President Comments Don’t Alter Her Actions

President Donald Trump’s criticism isn’t influencing the way Kansas City Fed President Esther George, long one of the central bank’s most hawkish members, conducts policy.

George offered the most candid view yet of the president’s repeated comments that he’s not happy that the Fed has continued to raise interest rates since he’s taken office. In an interview with CNBC’s Steve Liesman, George said this isn’t the first time a president has worried over monetary policy.

“Expressions of angst about higher interest rates are not unique to this administration. We know higher interest rates cause adjustments in the economy,” she said during an interview from the Fed’s annual retreat in Jackson Hole, Wyoming. “Congress anticipated this kind of tension when it designed the central bank, and they put firewalls in place so that the central bank could be independent and carry forth with its decision making.”

In a CNBC interview on July 19, Trump expressed frustration with the Federal Reserve, saying the central bank’s interest rate hikes could disrupt the economic recovery.

via CNBC

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.