Federal Reserve Chairman Jerome Powell will remain at his post as head of the United States' central bank, despite reports that President Donald Trump has threatened to fire him over the latest decision to raise interest rates, White House Council of Economic Advisers Chairman Kevin Hassett said on Wednesday.
WASHINGTON (Pakistan Point News / Sputnik - 26th December, 2018) Federal Reserve Chairman Jerome Powell will remain at his post as head of the United States' central bank, despite reports that President Donald Trump has threatened to fire him over the latest decision to raise interest rates, White House Council of Economic Advisers Chairman Kevin Hassett said on Wednesday.When asked by reporters at the White House whether Powell's job is safe, Hassett said, "Yes, of course, 100 percent," as quoted by The Hill.
US media reported last week that Trump was thinking of firing Powell over dissatisfaction with a December 19 decision by the Federal Reserve to increase a benchmark interest rate by 25 basis points to a 2.25-2.5 percent range.
Speculation over Powell's future continued despite repeated denials by the White House officials, in part due a massive stock selloff on Monday that included a 653-point plunge by the Dow Jones Industrial Average - the worst Christmas Eve performance ever.
Analysts have blamed the Federal Reserve's interest rate increases - a total of four rate hikes in 2018 - in part for the recent market woes, in which stocks appear headed for the worst December since 1931, according to reports.
