world-economy

Fed Independence at Risk, Powell Warns

Former Federal Reserve Chair Jerome Powell cautioned that presidential authority to remove central bank officials would undermine the institution's credibility and jeopardize economic stability. Powell's remarks reflect growing concerns among policymakers globally facing emerging financial challenges. Federal Reserve Governor Christopher Waller highlighted stablecoin expansion as a potential amplifier of US monetary policy influence worldwide. European Central Bank officials flagged risks posed by private digital currencies to financial stability and advocated for a digital euro as the optimal counterbalance. Bond traders this week monitored employment data to assess economic strength ahead of potential interest rate decisions. Central bankers gathered internationally to examine technological change and its effects on monetary policy transmission.