Summary
A video of Federal Reserve Chair Jerome Powell and President Donald Trump resurfaced after the Department of Justice (DOJ) began an investigation into the Fed. The DOJ is looking into claims that Powell lied during Senate testimony about the expensive renovation of the Fed's buildings in Washington, D.C. This investigation has increased tensions between the Trump administration and the Federal Reserve.
Key Facts
- The DOJ has launched an investigation into Federal Reserve Chair Jerome Powell's statements about Fed building renovations.
- The investigation focuses on claims of Powell lying about the cost during Senate testimony.
- The Fed's renovation project initially cost $2.5 billion but is now $600 million over budget.
- President Trump nominated Powell in 2017 and has criticized him for not lowering interest rates quickly.
- Trump suggested he might sue Powell for handling the renovations poorly.
- The Federal Reserve is funded by banking services fees and investment income, not taxpayer money.
- Powell responded that the investigation connects to Trump's previous threats against him.
- Trump said the DOJ subpoenas are unrelated to interest rates, but that high rates are negatively affecting the public.
