00:00It's Benzinga, bringing Wall Street to Main Street.
00:02Jerome Powell, now serving as a Fed governor after stepping down as chair, warned Sunday
00:07that the Federal Reserve cannot survive if administrations remove its officials over
00:11policy disagreements, according to the Wall Street Journal.
00:15Speaking at a Kennedy Family Award ceremony in Boston,
00:18Powell defended the legal protection shielding Fed officials from removal.
00:22He stressed that the executive branch plays no role in selecting or overseeing the 12
00:26Reserve Bank presidents who vote on interest rates. The Fed's independence is based on the
00:31belief that a politically insulated central bank will more readily take tough anti-inflation measures
00:36that benefit the economy long term. The remarks come as the Supreme Court prepares to rule on
00:42Trump's effort to remove Fed Governor Lisa Cook, the first such attempt in the Fed's 113-year history.
00:48For all things money, visit Benzinga.com.
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