Federal Reserve Chair Jerome Powell emphasized no urgency to adjust interest rates in an interview, citing global economic headwinds as the primary concern for U.S. monetary policy. The central bank's current rate setting, described as "appropriate" and "roughly neutral," balances economic growth without excessive stimulation or restraint.
Global risks from China's economic slowdown and European uncertainties represent the greatest threats to U.S. economic stability, according to Powell. While acknowledging potential challenges, he expressed confidence in avoiding severe negative outcomes in those regions.
The interview marked the eighth anniversary of former Fed chair Ben Bernanke's 60 Minutes appearance discussing the 2007-2009 financial crisis response. Powell addressed systemic resilience, stating the financial sector has been strengthened through enhanced capital requirements and regulatory reforms following the crisis.
Regarding President Donald Trump's public criticism of Fed policy, Powell declined to comment on specific remarks but affirmed that the president lacks legal authority to remove him over policy disagreements. The central bank chair emphasized institutional independence in monetary decision-making.
