Critics call for oversight of Fed officials’ investmentsBloombergUS Federal Reserve Chair Jerome Powell’s review of internal rules around investments by policymakers is a move in the right direction, but will not stem pressure for more accountability at the US central bank. “It’s about time,” Roberto Perli, a partner at Cornerstone Macro LLC, said of a Fed statement on Thursday that Powell had ordered a “fresh and comprehensive” study of the ethics rules around permissible financial holdings and activities by senior Fed officials. Photo: ReutersPowell’s move followed revelations last week over investments and trading by two of the central bank’s regional bank presidents. Both said that their transactions complied with Fed ethics rules and that they were acting to avoid even the appearance of a conflict of interest. US Senator Elizabeth Warren said in a statement on Thursday that she had written to all 12 regional Fed bosses to urge them to adopt a self-imposed ban on the ownership and trading in individual stocks by senior Fed officials and that they act “within 60 days.”The role of the regional Fed directors was also under scrutiny.

Source: Taipei Times September 17, 2021 15:56 UTC