GOP senator calls for investigation of the Fed's independence



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Republican Senator Thom Tillis pleads for an investigation into the Federal Reserve's independence after a former president of the agency has suggested to policymakers to punish President Trump for the US-led trade war. China by allowing the economy to dissipate, jeopardizing its chances of reelection for 2020.

Tillis, who is due to be re-elected next year in the state of the North Carolina battlefield, has proven himself alongside Trump in the quarrel between the president and the Fed, as well as its president, Jerome Powell.

Tillis, a member of the Senate Banking and Banking Committee, has announced his intention to ask the President, Senator Mike Crapo, of R-Idaho, to hold a hearing on the Fed's independence.

His call for investigation was launched a day after former Fed Chairman Bill Dudley in New York published an editorial in Bloomberg News – "The Fed Should Not Allow Donald Trump" – arguing that policymakers should consider not playing with the "Trump Artificial Disaster" -in manufacturing.

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"Central bank officials have to face a choice: to allow the Trump administration to continue on a disastrous escalation of the trade war, or send a clear signal that if the administration of In fact, the president, not the Fed, will assume the risks, including the risk of losing the next elections, "wrote Dudley." There is even an argument that the elections themselves are under the jurisdiction of the Fed. . "

Instead, Dudley urged them to delay the cut in interest rates "by making it clear that Trump will bear the consequences of his actions."

"I am very disappointed that former Fed Monetary Vice President, Bill Dudley, is pressuring the Fed to use its authority as a political weapon against President Trump," said Tillis in a statement. a statement released Wednesday.

Over the past year, Trump has repeatedly attacked Powell, whom he has nominated, and the central bank, lobbying policymakers to aggressively lower credit rates. interest while accusing them of fierce stock market fluctuations.

Federal Reserve board member Jerome Powell spoke after President Donald Trump announced his candidacy for the next president of the Federal Reserve at the Rose Garden in the White House. Washington, Thursday, November 2, 2017. (AP Photo / Alex Brandon)

"The only problem we have, is Jay Powell and the Fed," tweeted Trump last week. "He's like a golfer who can not putt, has no contact." "Great American growth is what he does, BIG CUT – but do not count on him!" now he is wrong and has not let us down. "

Trump's frequent criticism has raised concerns about the Fed's independence. They urged four former presidents to insist, in a Wall Street Journal editorial, on the need for the central bank to remain safe from short-term political pressures.

"It is essential to preserve the Federal Reserve's ability to make decisions based on the best interests of the nation, and not on the interests of a small group of politicians," wrote Paul Volcker, Alan Greenspan, Ben Bernanke and Janet Yellen. at one point, led by the Fed, appointed and renamed by six different presidents, Republican and Democrat.

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