President Donald Trump has criticized Federal Reserve chief Jerome Powell for not cutting interest rates as much and as quickly as the president wants.

cross-posted from: https://beehaw.org/post/24179103

Federal prosecutors have opened a criminal investigation of Federal Reserve Chairman Jerome Powell, he confirmed on Sunday evening.

Powell said the probe was the result of the Fed “setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of” President Donald Trump.

Terrible precedent that will harm our economy’s ability to recover from high unemployment or inflation.

Powell’s statement is worth a read

  • Avid Amoeba@lemmy.ca
    21·
    23 hours ago

    Oh I didn’t quite mean that. Yes China wants dedollarization. As do we. Yes China isn’t successful because of cheap labour. China never really was getting the world’s manufacturing solely because of the cheap labour but even that stopped being true a long time ago. Still having a sovereign currency is helpful for internal economic management. If you become the world’s reserve currency, you lose some of that sovereignty. It also has implications on the ability to be a net exporter. That’s why I’m saying I don’t think they want 60% of the world’s reserves to be in RMB. It’s usage is increasing but I don’t think China wants it to ever get the exirbitant privilege status because of the cons that come with would be bad for their project, e.g. their prod self-sufficiency.