Powell Faces Criminal Investigation: A Confrontation Between Federal Reserve Rate Policies and Political Power Struggles

On January 12th, local time, Federal Reserve Chair Jerome Powell publicly responded to a criminal investigation initiated by the U.S. Department of Justice, marking the official start of a storm surrounding the independence of the Federal Reserve.
Powell stated outright that the DOJ's criminal charges are merely an excuse; the real trigger is the Fed's consistent adherence to setting interest rates based on economic data rather than political will.
The origin of this investigation traces back to Powell’s testimony before the Senate last June, with the subpoena pointing to the renovation project of the Federal Reserve headquarters building.
However, Powell clearly stated that the new threats have no connection to his testimony or the renovation project.
In Powell’s view, this unprecedented criminal charge is a signal that the current U.S. government is launching a broader threat against the Federal Reserve.
He emphasized that he has always upheld the principle of impartiality in his duties and will continue to do so in the future, while also expressing respect for the authority of the law. But what he is more concerned about is whether the Fed’s future rate decisions can still be based on economic evidence rather than succumbing to political coercion.
At its core, this incident is a fierce clash between the independence of the Federal Reserve’s monetary policy and political intervention.
For a long time, the Fed’s interest rate decisions have been regarded as an anchor for global financial markets. Once its independence is eroded by political forces, it could not only shake market confidence in U.S. economic policy but also trigger a chain reaction in global financial markets.
Powell’s firm response is both a defense of his own principles of duty and a safeguard for global economic stability.
#加密市场观察
#美国非农数据低于预期