Hassett Blasts Fed Officials Over Rate Hike Calls Amid Low Inflation
White House economic adviser Kevin Hassett expressed concerns about Federal Reserve policymakers pushing for interest rate hikes, despite a recent 2% core inflation rate.
Hassett accused non-Trump-appointed Fed officials of undermining central bank independence through public calls for additional rate hikes.
Tensions have flared at the Fed as former leaders, including Jerome Powell and Michael Barr, remained on the Board of Governors after stepping down from their executive roles.
According to Bloomberg, a senior White House official criticized Federal Reserve officials for continuing to push for interest rate hikes despite subdued inflation.
Hassett questioned the rationale behind further monetary tightening, saying 'Why are they hiking?' and pointed out that Fed Chairman Kevin Warsh is managing an 'unusually partisan Fed.'