White House adviser Peter Navarro publicly criticized the Federal Reserve on Wednesday, describing the central bank’s recent decision to raise interest rates as a mistake. The move marks the first rate increase in several years.
The Federal Open Market Committee (FOMC), chaired by Kevin Warsh, voted unanimously to raise the benchmark interest rate to a range of 3.75 percent to 4 percent. Navarro, however, argued that the policy adjustment was poorly timed and strategically unsound.
History shows early rate hikes can choke off recovery. Navarro might be right about timing, even if it’s unpopular to say so.
Mortgage rates just went up again. My family can barely afford to buy a home as it is. Thanks a lot.
Wait, Kevin Warsh is Fed Chair now? I thought Yellen was still around. The timeline here feels off.
Unanimous vote suggests this wasn’t a political move. Why is Navarro attacking it now? Doesn’t make sense economically.
Rate hikes are painful but necessary to curb inflation. I wish the White House would stop meddling in Fed policy.