Donald Trump’s attempts to influence the U.S. Federal Reserve may pose “very serious danger” to the world economy, European Central Bank Warned.
ECB President Christine Lagarde said Trump’s undermining the independence of the world’s most powerful central bank will have an impact on the United States and other countries.
US President dismisses Jerome Powell or Governor Lisa Cook The U.S. economy and the world economy.
“If the U.S. monetary policy is no longer independent but relies on the decision of this person, then I believe that the impact on the U.S. economic balance could be very worrying because of the impact that this impact will have around the world, as it is the largest economy in the world,” she said.
Trump repeatedly criticized Powell for not lowering interest rates and threatened to fire him. He also tried to delete Cook, who is File a decision In cases that may reach the U.S. Supreme Court.
On Friday, Cook’s attorney argued that she was fired without notice or “reason” for dismissal. They said she learned about her attempts to delete through social media posts.
The term of dismissal of Cook does not expire until 2038, which will allow Trump to nominate a substitute. But Cook believes the president has no “no power” to remove her.
Leading investors and economists say political intervention has damaged the credibility of central banks to control inflation. The U.S. government’s borrowing costs have increased in recent months due to possible impacts on Trump’s tariff policies and concerns about the issue of independence.
Lagarde said Trump will be “very difficult” to control interest rates made by the Federal Reserve. “The U.S. Supreme Court is respected in the country, so I hope [Trump] Likewise, it is clear that the Fed governor can only be dismissed in the event of serious misconduct.
After the newsletter promotion
“And, for serious misconduct, you will be fired.”
Trump gained support for attacks on the Fed last week Liz TrussThis is the shortest British Prime Minister in history, ousted after the financial market collapsed.
Health & Wellness Contributor
A wellness enthusiast and certified nutrition advisor, Meera covers everything from healthy living tips to medical breakthroughs. Her articles aim to inform and inspire readers to live better every day.
