Federal Reserve Chair Jerome Powell's resignation, which American President Donald Trump pressured regarding the determination of U.S. currency policy, was publicly criticized by the president of a regional Federal Reserve Bank.
On the 20th (local time), Chicago Federal Reserve President Austan Goolsbee noted on CBS that "economists nearly unanimously agree that central banks should be free from political interference and maintain independence in currency policy."
He expressed, "I sincerely hope we do not drive ourselves into an environment where the independence of currency policy is questioned," adding, "If that happens, the Federal Reserve will lose its credibility." Goolsbee is one of the 12 regional Federal Reserve presidents and has a voting right on interest rates this year.
Goolsbee pointed out, citing examples of countries where the independence of the Central Bank is not maintained, that "inflation rises, growth rates decrease, and employment conditions worsen in reality."
Earlier, on the 17th, President Trump indicated the dismissal of Chair Powell while pressuring for a rate cut. At that time, President Trump stated, "(Powell) should have lowered rates a long time ago, and his dismissal would be better sooner rather than later." According to the Federal Reserve Act, the term of the Fed chair is set at four years (with a possibility of reappointment), and Chair Powell's term lasts until May of next year.