Powell's Warning Ignored! Musk: Considering Auditing the Federal Reserve!

TradingKey – Ignoring Powell's warnings, Elon Musk, head of the "Government Efficiency Department," has announced he is considering auditing the Federal Reserve.

On Thursday, February 20, billionaire Musk revealed that he is contemplating an audit of the Federal Reserve. Recently, Musk's Government Efficiency Department has already audited several U.S. government agencies, including the Treasury Department, the Department of Energy, the Department of Defense, and 18 other federal entities, terminating 199 federal contracts and attempting to lay off tens of thousands of federal employees.

During the Biden administration, both Musk and Trump advocated for an audit of the Federal Reserve, but their calls went unanswered. Now, with the DOGE department under Musk's leadership having the authority to conduct reviews, the Federal Reserve could face significant scrutiny.

Federal Reserve Chairman Powell has warned that increasing political influence could jeopardize the central bank's ability to make impartial decisions on monetary policy, potentially impacting its role in managing key economic factors such as inflation and employment.

It is reported that the Federal Reserve undergoes a financial statement audit each year; however, key aspects of its monetary policy, such as interest rate voting records and emergency loan recipients during crises, remain opaque to the public. In 2024, the Federal Reserve incurred losses exceeding $150 billion due to interest rate hikes, which it later obscured through "deferred assets," ultimately leaving the Treasury to foot the bill.