Jerome Powell Claims Trump’s DOJ Probe Is Retaliation For Interest Rates

Federal Reserve Chairman Jerome Powell on Sunday accused President Donald Trump of trying to “manipulate” the Federal Reserve through a criminal perjury investigation.

Republican Florida Rep. Anna Paulina Luna referred Powell to the Justice Department in July, alleging he lied to the Senate Banking Committee about renovations to the Federal Reserve’s Washington headquarters in June. Powell confirmed the probe in a blistering video statement released Sunday night.

“I have deep respect for the rule of law and for accountability in our democracy. No one—certainly not the chair of the Federal Reserve—is above the law. But this unprecedented action should be seen in the broader context of the administration’s threats and ongoing pressure,” Powell claimed. “This new threat is not about my testimony last June or about the renovation of the Federal Reserve buildings. It is not about Congress’s oversight role; the Fed, through testimony and other public disclosures, made every effort to keep Congress informed about the renovation project. Those are pretexts.”

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“The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the president,” Powell continued. “This 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.”