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White House Gives Fed Some Cover on Rates After Warren Critique

  • Senator criticized Fed’s playbook to fight inflation
  • Powell has signaled central bank will continue with rate hikes
Bloomberg business news
WATCH: Powell issues a fresh warning to investors doubting his resolve to fight inflation.Source: Bloomberg

The White House is giving the Federal Reserve leeway to raise interest rates to tame inflation, a day after Democratic Senator Elizabeth Warren warned the central bank’s actions could tip the US economy into a recession.

“We don’t want to step on what the Federal Reserve is going to do. Our goal is to keep bringing down inflation without sacrificing the historic and life-changing economic gains that we’ve seen this country has made over the last 18 months,” White House Press Secretary Karine Jean-Pierre told reporters Monday.