Fed Chair Powell lauds Volcker's 'willingness to resist'

Source: Reuters

March 21, 2026 1:32 PM EDT Updated 6 hours ago


March 21 (Reuters) - Federal Reserve Chair Jerome Powell on Saturday lauded former Fed Chair Paul Volcker's "willingness to resist" political pressure as he fought inflation in the ​1980s, remarks that have particular resonance as Powell presses his own defense ‌of the Fed's independence amid the Trump administration's efforts to get him to lower rates.

Volcker ignored his critics and raised interest rates sharply in the early 1980s, triggering a recession but ​also returning the U.S. economy to price stability.

"His actions remind us that independence ​and integrity are inseparable—we need independence to do what is right, ⁠and we need integrity to use that independence wisely," Powell said in a ​taped video accepting the Paul A. Volcker Public Integrity Award.

Over the past year Powell ​has fought his own political battles over Fed independence, with Trump frequently berating him for not easing policy and threatening to try to oust him. Trump has also tried to fire Fed Governor ​Lisa Cook over alleged mortgage fraud, a move she is fighting in a ​case now before the Supreme Court.

Read more: https://www.reuters.com/world/us/fed-chair-powell-lauds-volckers-willingness-resist-2026-03-21/