A Politically Captive Fed Would Be a Weak Fed: Ernie Tedeschi (1)

The Trump administration, Congress and the Federal Reserve are mired in a beltway clash over renovations to the central bank’s Washington headquarters. To an outside observer, this may appear to just be a fight over the cost of marble, but it could be something deeper.

Reports have surmised that the White House may be building a case to fire Fed Chair Jerome Powell for cause and replace him with someone more willing to follow the administration’s preferences in setting interest rates. President Donald Trump is likely to terminate Powell “soon,”and discussed the possible move in a meeting with congressional Republicans on ...