On September 7, Kevin Hassett, Director of the National Economic Council, stated the Federal Reserve's independence from political influence. These comments emphasize the importance of monetary policy autonomy for the economy.
Independence of the Federal Reserve
Kevin Hassett highlighted the independence of the Federal Reserve from political influences, including pressure from President Trump. He stated the necessity of maintaining the current operational climate of the central bank for ensuring economic stability.
Economic Stability and Political Influence
Hassett stressed the importance of insulation from political pressures. He noted that countries allowing leaders to take control of central banks typically face inflation and worsening conditions for consumers. "I would say 100% that monetary policy needs to be fully independent of political influence, including from President Trump." CITE_W_A
Current Market Situation Analysis
Currently, no structural changes or reforms for the Federal Reserve are planned. Hassett confirmed that existing policies will continue, maintaining stability for market confidence. Additionally, Bitcoin has shown a 1.68% increase over the last 90 days.
Supporting the independence of the Federal Reserve is crucial for ensuring economic stability. Hassett's statements reaffirm this principle and indicate no immediate changes in the market.
