Federal Reserve chairman Jerome Powell laid out the importance of the Fed's political independence during a speech at the Council on Foreign Relations in New York on Tuesday, saying the central bank is "insulated from short-term political pressures." It was one of his most direct acknowledgements of President Trump's criticisms.
"Congress chose to insulate the Fed this way because it had seen the damage that often arises when policy bends to short-term political interests. Central banks in major democracies around the world have similar independence."— Jerome Powell