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Powell Says No Rift With Mnuchin, Signals Fed Not Stepping Back

  • Powell wanted public to know Fed was not pulling back support
  • Mnuchin faces criticism from Democrats for ending programs
Jerome Powel listens as Steven Mnuchin speaks during a hearing in Washington, D.C., U.S., on Dec. 1.
Jerome Powel listens as Steven Mnuchin speaks during a hearing in Washington, D.C., U.S., on Dec. 1.Photographer: Susan Walsh/AP Photo/Bloomberg
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Federal Reserve Chair Jerome Powell indicated Wednesday that there was no rift between the central bank and Treasury Secretary Steven Mnuchin over the sunsetting of emergency lending programs.

Concerns of a dispute emerged on Nov. 19 when Mnuchin announced that he will sunset a handful of the emergency lending programs rolled out to support the pandemic-ridden economy and authorized under the Cares Act at year end as the law subscribed.