Powell: The U.S. Department of Justice's threat of criminal prosecution is due to the Federal Reserve's independent rate-setting, not following the president's preferences.

According to Odaily, Federal Reserve Chairman Jerome H. Powell issued a statement saying that the U.S. Department of Justice delivered a grand jury subpoena to the Federal Reserve on Friday, threatening criminal prosecution over his testimony before the Senate Banking Committee in June last year. Powell stated that the testimony involved a multi-year renovation project of the Federal Reserve office building, but the real reason for the threat of criminal charges was that the Federal Reserve sets interest rates based on economic assessments rather than following the president's preferences. He emphasized that the Federal Reserve must formulate monetary policy based on evidence and economic conditions, not under political pressure or intimidation. He will continue to fulfill his Senate-confirmed duties and remain committed to the mission of maintaining price stability and full employment.