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The Fed will change trading rules for members to keep trust, Powell says
Sep 22, 2021 | CNBC
Picture - The Fed will change trading rules for members to keep trust, Powell says

Federal Reserve Chairman Jerome Powell on Wednesday said the central bank's current trading rules are insufficient and promised that it would "make changes" after filings showed that officials traded stocks and bonds that could be influenced by its policy actions.

He added that he was not aware of the now-controversial trades made by Dallas Fed President Robert Kaplan and Boston Fed President Eric Rosengren in 2020 prior to media reports over the past month.

"We understand very well that the trust of the American people is essential for us to effectively carry out our mission. And that's why I directed the Fed to begin a comprehensive review of the ethics rules around permissible financial holdings and activity by Fed officials," he said.

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