Bloomberg

How should we ensure the Federal Reserve remains independent and credible in its decisions?

In his first public remarks since the conclusion of his time as Federal Reserve chair, Jerome Powell has issued a blunt warning that the central bank is undergoing a "stress test" and its credibility is on the line. The big picture: While Powell's remarks Sunday evening, in accepting the John F. Kennedy "Profiles in Courage" award, do not mention the Trump administration's attempts to undermine Fed independence specifically, the meaning of his words is plain. Those include a criminal investigation of the Fed's over-budget building renovation and the attempted firing of governor Lisa Cook.Powell framed attempts to weaken the Fed's independence from politics as endangering an institution that is crucial in sustaining American greatness. State of play: Powell's term as Fed chair ended May 15, but he is remaining in place indefinitely as one of seven Fed governors pending resolution of the president's threats to Fed independence, denying President Trump a vacancy on the powerful board. He has said he will keep a low profile in his new role as an ex-chairman serving the Fed board, a situation not seen in 75 years. What they're saying: "Like many other institutions, the Fed has been undergoing a stress test," Powell said, according to a prepared text to be delivered at the John F. Kennedy Presidential Library and Museum in Boston. "Congress wisely chose to insulate monetary policy decisions from political pressure," Powell said. "These protections have served the public well, and administrations from both parties have respected them.""If any administration finds a way to remove Fed officials over policy differences, then future administrations will do so as well. The public would lose faith that the central bank will make decisions based only on what's best for all Americans.""The Fed's credibility would be lost. That credibility enables the Fed to support a strong and stable economy for the benefit of American families and businesses. Our credibility has been built and s

How might the ongoing war in Iran affect interest rates and our economy?

Federal Reserve Bank of New York President John Williams said the current stance of the US central bank balances risks to price stability and full employment amid disruptions from the Iran war. Williams spoke Monday at an event in New York City. (Source: Bloomberg)

How should we respond to changes in factory activity in China and their effects on the global economy?

How might rising oil prices due to conflicts in the Gulf affect our daily lives and the economy?

Oil spiked after renewed attacks in the Persian Gulf and a fresh push by Washington to hurt Tehran with sanctions, as the US and Iran remained far apart on moves to reopen the Strait of Hormuz

How should the European Central Bank adjust its decisions based on changes in economic growth?

European Central Bank Vice President Luis de Guindos discusses the impact of the energy supply shock on inflation and euro-area growth. “If you look at soft indicators, sentiment indicators, these indicators clearly point at an important impact on growth,” Guindos says during an interview with Bloomberg’s Mark Schroers. (Source: Bloomberg)

How should rising oil prices and Middle East tensions affect our energy policies and choices?

Oil prices fell, giving back some of the gains from the previous day as attacks in the Middle East raised concerns about the war starting again

What are the possible effects of China's crackdown on cross-border trading for businesses and the economy?

Chinese investors are rushing to find alternative ways to buy and sell overseas equities after Beijing launched its most forceful crackdown on illicit cross-border stock trading to stem capital outflows

How might changes in interest rates affect everyday people and businesses in our community?

Markets expect central bank to lift borrowing costs by end of year as Iran war intensifies inflation