In the Russian-speaking segment, this news is somehow not visible at all, none of the media outlets are writing about it. Yesterday, Jerome Powell, the chairman of the U.S. Federal Reserve, released a video message on the official Federal Reserve website’s homepage, stating that the president’s administration is putting pressure on him and his system, and part of this pressure involves trying to charge him for the building’s facade repairs.
The Federal Reserve System is the “bank of banks” and the main printing press of the world. Since the 1950s in the USA, there has been an unwritten rule: the president does not interfere with the Federal Reserve’s operations. If the Federal Reserve starts printing money or lowering rates just because the president needs to “boost” the economy before elections, the dollar will depreciate, and inflation will become uncontrollable.
Quote:
“I deeply respect the rule of law and accountability in our democracy. Of course, no one, including the Chairman of the Federal Reserve, is above the law, but this unprecedented action should be viewed in the broader context of threats from the administration and ongoing pressure.”
“The threat of criminal prosecution is a result of the Federal Reserve setting interest rates based on our best judgment of what serves the public interest, rather than according to the President’s preferences. The issue is whether the Federal Reserve can continue to set interest rates based on data and economic conditions — or whether monetary policy will be determined by political pressure or intimidation.”
If the pressure continues or if Powell is removed/arrested, there is a high chance that the loss of the Federal Reserve’s independence could lead to a sharp drop in the dollar’s value and an increase in the prices of gold and other assets.
As Nikolai Chapaev said in the textbook “Introduction to the Course ‘Philosophy and History of Education'”, “God forbid you live in an era of changes”…
Hi, I'm Rauf Aliev. 