Global Solidarity Rallies Behind Fed Chair Amid Intimidation Probe

Global central bank leaders and Wall Street CEOs express strong support for Federal Reserve Chair Jerome Powell after the Trump administration threatened criminal charges against him. Powell denounces the probe as intimidation to cut interest rates. His peers highlight the importance of central bank independence and stability.

On Tuesday, global central bank leaders and top Wall Street CEOs rallied behind Federal Reserve Chair Jerome Powell, following threats of criminal indictment by the Trump administration. This united front underscores the critical relationships Powell has fostered and the significance of the U.S. central bank to world financial markets.

The move for support came amid pushback from Republican lawmakers, some of whom hold influential positions capable of stalling Trump's nomination of a more compliant successor to Powell. The Fed Chair, whose term ends in May, disclosed subpoenas from the Justice Department on the Fed's headquarters renovation in Washington, calling the probe an intimidation tactic intended to coerce interest rate cuts.

Amidst skepticism from some of Powell's opponents in Congress and repeated Trump demands for lower interest rates, financial markets continue to anticipate minimal policy changes. Powell's colleagues and global banking officials emphasized the importance of central bank independence, warning against political influence that could destabilize financial markets both domestically and internationally.

(With inputs from agencies.)