US Senator Elizabeth Warren has issued a stark warning that former President Donald Trump's attempts to exert control over the Federal Reserve "undermines America all around the world." The Massachusetts senator delivered her remarks during a discussion at the National Press Building in Washington DC on Monday.
An Assault on Central Bank Independence
Warren, who chairs the influential Senate banking committee, strongly criticised what she described as Trump's latest effort to weaken the Federal Reserve's cherished independence. Her comments come in the wake of a Department of Justice criminal investigation being opened into the current Fed chair, Jerome Powell.
"He's saying, 'I want to put my hands on the dials on monetary policy,'" Warren stated, referencing Trump. She praised Powell and other Fed officials for resisting this pressure and maintaining a commitment to data-driven decision-making.
"What Trump is trying to do is terrible for our economy but it undermines America all around the world," Warren asserted. She emphasised that the Fed has long been considered the "gold standard" for independent monetary policy, a reputation she claims Trump is actively destroying with significant cost to the United States.
Building a 'Sturdy Big Tent' for Democrats
The speech, framed around "the Future of the Democratic Party" ahead of the 2026 midterm elections, served as a clarion call for a new economic focus. Warren argued that simply attacking Trump is insufficient for a party still reeling from significant losses in the 2024 election cycle.
She warned that a Democratic party more concerned with offending wealthy donors than delivering for working people is "doomed to fail." To build durable trust, Warren insisted the party must be willing to take on the wealthy and well-connected, focusing squarely on policies that lower costs for average American families.
"We can't rebuild trust by staying silent about abuses of corporate power and tax fairness simply to avoid offending the delicate sensibilities of the already-rich and powerful," she declared.
Learning from Trump's Rhetoric, Delivering a Real Agenda
In a pointed analysis, Warren suggested Democrats could learn a tactical lesson from Trump's 2024 campaign rhetoric, where he consistently promised to reduce living costs. She argued that, in reality, costs have risen due to his administration's policies.
"This is the moment for Democrats to stand up and first call Trump to account for his betrayal to the American people but also to lay out our own agenda," Warren concluded, framing the protection of independent institutions like the Fed and a populist economic platform as critical to the party's future success.
