Economics
Fed Curbs Trading by Top Officials as Powell Does Damage Control
- Sweeping move seen helping Powell’s chances to win second term
- Review follows trading disclosures that led to two departures
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The Federal Reserve will ban top officials from buying individual stocks and bonds as well as limit active trading after an embarrassing scandal that led two officials to resign and clouded Chair Jerome Powell’s path to renomination.
“These tough new rules raise the bar high in order to assure the public we serve that all of our senior officials maintain a single-minded focus on the public mission of the Federal Reserve,” Powell said in the Thursday.