Powell pushes back on Musk's claim Fed is 'absurdly overstaffed'
Published On Jan 29, 2025, 5:22 PM
Jerome Powell, Chair of the Federal Reserve, responded to Elon Musk's claim that the Fed is 'absurdly overstaffed', emphasizing that the Fed operates on a careful budgeting process. Musk has previously criticized the Fed for its staffing levels and decision-making regarding interest rates. Currently, the Fed has held interest rates steady amid ongoing economic uncertainty although it did cut rates earlier in the year as inflation showed signs of cooling.
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The ongoing criticism from influential figures like Musk may impact the Federal Reserve's public perception and credibility, especially regarding its staffing and efficiency during economic decisions. If the Fed's decisions are viewed as politically motivated or inefficient, it could lead to market uncertainty.
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