The U.S. Department of Justice has launched an investigation into Jerome Powell over his testimony to the Senate and renovation works at Federal Reserve buildings in Washington, D.C.
Powell said the Justice Department sent subpoenas related to his statements on the renovations and warned of possible charges, adding that he believes the probe stems from Donald Trump’s anger toward him. “This (investigation) is about whether the Fed will be able to continue to set interest rates based on evidence and economic conditions, or whether instead monetary policy will be directed by political pressure or intimidation,” Powell said, stressing that “no one, including the Fed chair, is above the law.”
Trump has repeatedly criticized Powell for not cutting interest rates fast enough and has openly threatened to remove him from office, saying in December, “Yes, he should resign… I would like to fire him.”