Hassett: “Nothing to Worry About” Powell
White House adviser and National Economic Council Director Kevin Hassett attempted to calm the uproar over the Justice Department's move to target Fed Chairman Jerome Powell. In an interview on Friday, Hassett said the issue likely “won't be a big deal” and indicated he didn't see any cause for concern, while still pushing for the Fed to be more transparent about the cost details of its headquarters renovations.
The investigation centers on the roughly $2.5 billion cost overrun of renovations at the historic Fed complex. Powell has denied any wrongdoing and called the legal action a pretext to pressure the central bank to follow President Donald Trump's call for more aggressive interest rate cuts. Hassett himself called it more of a “request for information,” alluding to technical factors like the asbestos discovery that are said to have contributed to the cost increase.
However, the move has drawn widespread criticism from various parties—from investors to political figures across political divides—who believe the process risks dragging monetary policy into the political arena. Amidst the heated debate, Powell's term as chairman will end in May, and Trump has yet to announce his replacement.
Source: Newsmaker.id
