Mnuchin: Powell and Trump Had 'Productive' Meeting

Mnuchin: Powell and Trump Had 'Productive' Meeting

Former Reagan Economist Art Laffer on Federal Reserve policy and the outlook for US economic growth.

Federal Reserve chair Jerome Powell joined USA president Donald Trump for an "informal dinner" in the White House on February 4. The Fed is supposed to be independent from politics, and it is hard to remove a Fed governor except for "cause", which has typically been interpreted by courts as egregious wrongdoing.

Powell's comments were "consistent with his remarks at his press conference of last week", the Fed said in a statement.

First word of the dinner came from the Fed, which put out a statement Monday saying that Powell "did not discuss his expectations for monetary policy" during his meeting with the president.

Timing aside, "it is within the normal operating procedures for presidents to ask Fed chairs for a perspective", on the economy, particularly with a meeting on the eve of the president's State of the Union address, said Mark Spindel, founder of Potomac River Capital and co-author of a study of Fed political oversight. "Relative to trying to sack the guy, sitting down to dinner is a non-story".

Trump a year ago repeatedly exerted pressure on the Fed to hold off on rate hikes, saying that the central bank risked impeding economic progress with a tightening monetary policy. "I think Jay Powell is very clear that he wasn't going to say anything in private inconsistent with what he said publicly".

Meetings between a president and Fed chief are rare but not unprecedented. Barack Obama met with then-Chair Janet Yellen in 2016, for example.

It's also possible that when it comes to interest rate hikes, the president doesn't have anything to worry about in the year ahead. But presidents are not supposed to dictate Fed policy. He called the Fed's moves to boost rates his biggest threat.

The urge to fire Powell has apparently dissipated, with administration officials assuring markets and the public that the Fed chair's job was secure.

The dinner was held "at the President's invitation.to discuss recent economic developments and the outlook for growth, employment and inflation".

It is an invitation every Fed chair receives, and which can not easily be turned down.

Related News:



Most liked

Amazon exploring potential alternatives to New York HQ
Amazon also said it would build a new operations center in Nashville, Tenn., that will create more than 5,000 jobs. Cuomo said NY would be able to "count on one hand the number of millionaires left in New York" if taxes go up.

US halts some Cameroon military assistance over human rights
The United States has some 300 troops based in Cameroon to assist its military, especially in fighting extremism. In 2015 United States ordered 15 Acmat Bastion armoured vehicles from France for Cameroon.

Video shows train leave with baby on board, dad on platform
RTA officials responded and quickly returned to the station where the father was reunited with the child. She was "coached" by her supervisor for not following communication procedures during the incident.

Anthem's post-launch updates will bring cataclysmic events and new areas
Part two shows off the endgame content for Anthem that will hopefully keep players coming back for more and more. Others reward you with crafting materials and coin necessary build the schematics into complete items.

German antitrust authorities restrict Facebook data use
Germany's antitrust watchdog has banned Facebook from combining data collected from its social platforms without user consent. Even if no Facebook symbol is visible to users of a website, user data will flow from many websites to Facebook.

Threats and memes - Inside Chris Brown & Offset’s Twitter showdown
Chris Brown and Offset of the Migos got into a social media spat on February 6. Offset fires back a response at Chris Brown calling him a "Coke Head".

Assassin's Creed III Remastered revisits the revolution next month
Assassin's Creed 3 Remastered will include Assassin's Creed Liberation Remastered, as well as all of the solo DLC content. It will be available as a standalone title for $39.99 and as part of the Assassin's Creed Odyssey Season Pass .

Are Apps Really Recording Your iPhone’s Screen?
TechCrunch's investigation revealed that some of the other apps didn't mask email IDs and postal codes during session recordings. But there was no clarity on where in Abercrombie and Hollister's privacy policies it is mentioned of screen recording.

Epic Games utilizes Fortnite advertisements to thwart Apex Legends
He also believes that this game's success could lead to greater interest in the coming release of the " Titanfall " sequel. Players who perform a Google search for Apex Legends have a chance of receiving an ad for Epic's Fortnite Battle Royale.

LeBron James Scheduled To Return Tonight Against Clippers
While their defense has kept them competitive in his absence, their offensive decline contributed to a 6-11 mark without him. James has not played in nearly five weeks as he injured his groin against the Golden State Warriors on Christmas Day.

'Strong possibility' of Joshua v Miller in New York - Hearn
Promoter Eddie Hearn says there is a "strong possibility" Anthony Joshua will make his American debut against Jarrell Miller in NY .

The 'Wicked' Movie Is Officially Coming to Theaters in 2021
So yeah, here's hoping this is a sign that the Wicked movie is finally, at long last, happening. It had originally been on the schedule for this December.

Letter Demands Google Stops Telling Waze Users About NYPD Activity
Before cellphones and traffic apps, the practice of flashing headlights to warn other drivers about "speed traps" was popular. Waze maintains the police icon shows "general police presence" and not DWI checkpoints specifically.

Frozen Cat Survives After Being Found Unresponsive In A Snow Bank
Fluffy wasn't frozen solid, Andrea Dutter, executive director of the Animal Clinic of Kalispell, told the Washington Post . Fluffy, 3, has always lived outdoors, Clark told the AP News. "I suspect that something traumatic happened", Clark said.

‘I do not see Bruce McArthur seeing daylight,’ police say of sentence
McArthur will be 91 years old before he can even apply for parole, an application, McMahan said, that would likely be denied. Harper said that each case is different, and that when it comes to guilty pleas, people make them for a variety of reasons.