www.theguardian.com
In a remarkable show of unity, eleven central bank leaders have issued a joint statement expressing “full solidarity” with US Federal Reserve Chair Jerome Powell. This move comes amid escalating tensions with the White House over the central bank’s independence.
The leaders warned that undermining a central bank’s autonomy is a hallmark of emerging markets with weak institutions, leading to negative consequences for inflation and the economy. They emphasized that independence is a “cornerstone of price, financial and economic stability.”
Powell himself stated that the current threat is a pretext, arguing that criminal charges are being considered simply because the Fed sets interest rates based on public interest, not presidential preference. As a decision on potential charges is expected as soon as Wednesday, President Trump has warned it would be a “complete mess” if the Supreme Court rules against his administration’s tariffs.
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