Powell Defends Fed Independence in Farewell Warning

NewsDesk MC June 1, 2026June 1, 2026 banking, central bank, donald trump, Economics, Fed Independence, Federal Reserve, financial markets, governance, inflation, interest rates, Jerome Powell, Kevin Warsh, Lisa Cook, monetary policy, policy, public trust, treasury, united states, US economy, US politics, Washington

Washington-Outgoing Federal Reserve chair Jerome Powell warned on Sunday that political interference in the U.S. central bank could undermine public confidence, as tensions between the Federal Reserve and President Donald Trump continue.

Speaking while accepting the John F. Kennedy Profile in Courage Award in Boston, Powell said removing Federal Reserve officials over policy disagreements would set a dangerous precedent and weaken trust in the institution’s decision-making.

Powell’s remarks followed efforts by the Trump administration to challenge senior Fed officials, including Governor Lisa Cook. He stressed that the central bank’s credibility had been built over decades and must be protected.

Powell stepped down as Fed chair earlier this month and was succeeded by Kevin Warsh, but will remain on the Federal Reserve Board until 2028.

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