Sen. Elizabeth Warren, D-Massachusetts, slammed Federal Reserve Chairman Jerome Powell in an interview with NBC News’ «Meet the Press» on Sunday, saying he «has failed» in his duties and shouldn’t be in his position.
«He’s had two jobs. One is dealing with monetary policy. The other is dealing with regulation. He’s failed at both,» he said.
«Look, I don’t think I should be chairman of the Federal Reserve. I’ve said it as publicly as I know how to say it. I’ve told everyone,» said Warren, who sits on the Senate Banking Committee. .
Powell, first nominated by then-President Donald Trump in 2017it has faced criticism for its handling of banking regulations following the collapse of Silicon Valley Bank.
Warren, who has been pushing for tighter banking regulations, said Powell «threw a flamethrower at regulations» when Trump took office, adding that Trump gave Congress the «authority to loosen regulations further.»
“And then the CEOs of the banks did exactly what we expected. They loaded up on risks that boosted their short-term gains. They gave out huge bonuses and salaries and blew up their banks,” Warren said.
A group of Democrats led by Warren and California Rep. Katie Porter unveiled legislation last week to restore banking regulations that were undone under the Trump administration in 2018, an effort they say would address the cause of SVB’s collapse.
At the time, Republicans in Congress pushed through a bill, supported by some centrist Democrats, that relaxed Dodd-Frank financial regulations on midsize banks, raising the «too big to fail» threshold to $ 50 billion in assets to $250 billion. He Warren–Porter BillFirst reported by NBC News, he would repeal that measure, but faces a rocky road to passage in Congress.
Some Democrats who voted for the 2018 bill stand by their votes, join Republicans in resisting increased scrutiny from banks, and argue that the US still has ways under existing law to address the problem. .
President Joe Biden renominated Powell as Federal Reserve chairman in November 2021. The decision was opposed by some progressives, and certain Democrats had argued that Powell was too indifferent as a banking regulator.
At the time, Warren was a leading opponent of Powell, calling him a «dangerous man» who had led an effort to undermine the nation’s banking system at a hearing in late 2021.
“I have opposed him because of his views on regulation,” Warren said on “Meet the Press” on Sunday, “and what he was already doing to weaken regulation.”