ECB Executive Warns Against Threat to Fed Independence

European Central Bank (ECB) member Isabel Schnabel has sounded a warning against potential threats to the Federal Reserve’s independence, highlighting its crucial role in maintaining stable global financial markets. According to BlockBeats, Schnabel expressed concern that weakening the Fed’s autonomy could inadvertently drive up borrowing costs rather than lower them, potentially disrupting the entire global financial system. She emphasized the importance of preserving the Fed’s independent status for both the US and European economies. Schnabel stressed her hope that this scenario is avoided.