Former banker McDonald: Fed chief lies about state of US banks or doesn’t know what he’s doing
WASHINGTON, March 22 – RIA Novosti. Jerome Powell, chairman of the US Federal Reserve System (FRS), is lying about the state of regional banks in the US, or the former vice president does not know what he is doing as part of the regulatory agency’s monetary tightening policy. Lehman Brothers financial firm Lawrence McDonald told RIA Novosti.
“They look like they’re smoking in a dynamite shack. Ten days ago, Powell on Capitol Hill told us the banking system was fine … He either lied or didn’t understand what he was doing,” McDonald said.
US senator blames Fed chairman for bank failures
In the current environment, the Fed will be forced to cut interest rates, according to the forecast of an expert at Lehman Brothers responsible for debt management and converting securities trading during the 2008 financial crisis.
“The Fed will probably cut interest rates by 100 basis points before the end of this year,” McDonald said.
The bankruptcy of the American investment bank Lehman Brothers in 2008 is considered the starting point of the global financial crisis.
On Wednesday, the Fed will announce its interest rate decision and will update its macroeconomic forecasts, including its interest rate forecast. Then, Federal Reserve Chairman Jerome Powell will hold a press conference. Markets are waiting for clues from the regulator about the future plans against the backdrop of the banking crisis.
Next up for the money: when the American “bomb” goes off
Source: Ria
I am Emma Sickels, a highly experienced journalist specializing in news and economy. As an author at News Unrolled, I cover the latest trends in the economic sector and provide readers with valuable insights into its complexities. My work has been featured in various media outlets such as The New York Times, USA Today, Bloomberg Businessweek and many more.
