Bloomberg Talks
00:10:17 · S0, Kevin Hassett, S2
[00:10:17] S0: There are some people who say that if the Fed raises rates to bring down inflation, that's its best bet to appeal to consumers ahead of the midterm elections. [00:10:25] S1: Oh, you know, I think that if inflation goes down between now and the next election because of some Fed action, then that's not the Fed policy response that I'm used to seeing, having worked at the Fed for many years. It's a very, very slow-moving process. If you look at the 30-year TIP, the Inflation Protected Act, Treasury, it's expecting the Fed to get long-term inflation at around 2.1%. And that's the kind of long-term view that Fed governors need to have is to, you know, make sure that markets are reassured that they're going to hit their target. They're going to hit their target. But short-run responses are difficult to predict. [00:11:03] S2: Director Hassett, I would love to finish on this message, this one of reassurance, and just bring it back. to the three-person committee on Lisa Cook. Understood, you can't tell us where you are in that investigation, but I wonder if you could leave this market with some reassurance. What reassurance can you give that this will be a fair view into Governor Cook and what she was doing, that the White House panel will be fair given continued statements from the president to suggest that he is unhappy with the job Lisa Cook is doing and that she should no longer be there?
00:11:03 · S2, Kevin Hassett
[00:11:03] S2: Director Hassett, I would love to finish on this message, this one of reassurance, and just bring it back. to the three-person committee on Lisa Cook. Understood, you can't tell us where you are in that investigation, but I wonder if you could leave this market with some reassurance. What reassurance can you give that this will be a fair view into Governor Cook and what she was doing, that the White House panel will be fair given continued statements from the president to suggest that he is unhappy with the job Lisa Cook is doing and that she should no longer be there? [00:11:34] S1: Look, the people on the committee are people of honor who are charged with looking at the evidence and correctly characterizing it in a way that people will be able to observe and criticize if they like. That nobody's telling any of us what we have to say. People can dissent if they want. It's a completely fair process. [00:11:55] S2: Director Hassett, we really appreciate your time this morning. Always a pleasure to get you on. White House National Economic Council Director Kevin Hassett.