1. United States
2. Calif.
3. Letter

I am writing to urge you to take immediate action to protect Federal Reserve independence and prevent the weaponization of the Department of Justice against Chair Jerome Powell. The DOJ recently served the Federal Reserve with criminal indictments related to Powell's testimony about building renovation work, a move Powell himself characterized as a "pretext" for the administration's attempts to influence independent interest rate decisions. Powell stated publicly that "the threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the president." This represents an unprecedented attack on an institution designed to serve as an independent check on political power. Federal Reserve independence anchors stability across global markets, not just American mortgage rates. When similar pressure campaigns occurred in Turkey and during the UK's Liz Truss mini-budget crisis, markets experienced significant chaos. The timing is critical. Powell's term ends in May, and the administration appears to be using criminal prosecution to intimidate the Fed into lowering interest rates based on political preferences rather than economic evidence. US interest rates are decided by committee vote, and this pressure campaign threatens the integrity of that process. There is also concern that the administration could weaponize the Fed's global market tools, such as swap lines that provide massive dollar funding during stress, to coerce allies in tariff negotiations. The most significant pause in the current administration's agenda occurred in April when chaotic tariff policies triggered a bond market reaction before Treasury Secretary Scott Bessent stabilized the situation. This Powell moment could trigger similar market instability in the US Treasuries market, the safe haven asset during times of crisis. I urge you to publicly defend Federal Reserve independence, condemn the use of criminal indictments as political intimidation, and work with colleagues to establish legislative protections that prevent future administrations from weaponizing the DOJ against independent institutions. Our economic stability depends on it.