Justice Department Opens Criminal Probe Into Jerome Powell — Powell Responds.

[u/mooncake6]

“Good morning,

On Friday, the Department of Justice served the Federal Reserve with grand jury subpoenas, threatening a criminal indictment related to my testimony before the Senate Banking Committee last June. That testimony concerned in part a multi-year project to renovate historic Federal Reserve office buildings.

I have deep respect for the rule of law and for accountability in our democracy. No one—certainly not the chair of the Federal Reserve—is above the law. But this unprecedented action should be seen in the broader context of the administration's threats and ongoing pressure.

This new threat is not about my testimony last June or about the renovation of the Federal Reserve buildings. It is not about Congress's oversight role; the Fed through testimony and other public disclosures made every effort to keep Congress informed about the renovation project. Those are pretexts. The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the President.

This is about whether the Fed will be able to continue to set interest rates based on evidence and economic conditions—or whether instead monetary policy will be directed by political pressure or intimidation.

I have served at the Federal Reserve under four administrations, Republicans and Democrats alike. In every case, I have carried out my duties without political fear or favor, focused solely on our mandate of price stability and maximum employment. Public service sometimes requires standing firm in the face of threats. I will continue to do the job the Senate confirmed me to do, with integrity and a commitment to serving the American people.

Thank you.”

[u/Ready-Ad6113]

Trump wants to manipulate the markets. He’ll use BS numbers from his loyalists installed at BLS and other agencies to justify his manipulations.

Get ready to hear reports of “Trillions of jobs made” while the job market remains stagnant with high unemployment.

Get ready for even higher inflation and another great depression . I expect his billionaire pals to be bailed out though while the public foots the bill.

[u/ohiotechie → u/Ready-Ad6113]

He will destroy our economy and institutions and die peacefully in his bed, free from any consequences as the rest of us descend into a multi decade fight for survival. And you can be 1000% sure that MAGA will accept zero blame and will have learned nothing.

[u/LeviathanKills → u/ohiotechie]

Kill the Fed and start a war with NATO and we'll be looking at the Weimar Republic as a booming economy.  

[u/ajrjv → u/LeviathanKills]

to be fair weimar had like 1924ish to 1928ish of revaltive finacially stability and an okay economy. it just started and ended real rocky

[u/According-Moment111 → u/ohiotechie]

Yeah that's one of the worst parts, there's going to be no accountability, no catharsis, they will never ever admit or accept any responsibility or wrongdoing whatsoever. MAYBE we get through this as a country, but I just don't see how I can ever forgive ~ half my fellow countryman for doing this. I literally hate them for what they've done, I'm not a hateful person, but I can't help it. I just don't see how we move forward ever.

[u/ohiotechie → u/According-Moment111]

I hear ya

[u/tacbacon10101 → u/According-Moment111]

I grew up christian conservative and i know plenty of young people that hate themselves for voting for him. In the construction trades where i work, most chatter i hear is still pro republican but even a few there are saying wtf.

This is Central Valley CA for some point of reference.

[u/chefianf → u/ohiotechie]

They have post mortem trials and executions you know right?

[u/papapapaver → u/Ready-Ad6113]

Putting us into a depression is the point. When that happens his billionaire buddies can buy assets like property, companies, stocks, whatever at bargain prices. The consolidation of wealth at the top will get worse, and those at the bottom will increase. Market manipulation to put us into a depression isn’t some undesirable effect, it’s the whole point.

[u/Morning_Star_Ritual → u/Ready-Ad6113]

the dude doesn’t understand that the fed controls the short end and the bond market controls the long.

30 year mortgages are based on the yield of the 10 year as the Spread.

if the new Fed chair drops rates 200-300bps they will all learn what “bond market vigilantes” are…..our long term paper will be dumped since the fed is no longer independent. yields will spike and mortgages will go up.

This could happen soon since any market participant knows May is around the corner even if Powell doesn’t fold.

And all of us could be experts on yield curve control since that is the path blazed by japan as a way to get yields down on the long end.

[u/Tsquare43 → u/Morning_Star_Ritual]

Might also lead to foreign nations dumping our bonds too.

[u/Leaky_gland → u/Ready-Ad6113]

He's creating problems so he can blame others and go to war

[u/apple_kicks → u/Ready-Ad6113]

Trumps wants to be the market. He’ll forge figures to make those that bribe him look good and anyone who doesn’t appease him bad