Senator Elizabeth Warren issued a stark warning on Monday, stating that former President Donald Trump's attempts to exert control over the Federal Reserve "undermines America all around the world". The Massachusetts senator made the remarks during a discussion at the National Press Building in Washington DC.
A Direct Threat to Federal Reserve Independence
Warren, who chairs the influential Senate banking committee, decried what she described as Trump's latest effort to weaken the central bank's independence. Her criticism comes amid a Department of Justice criminal investigation 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," she argued. Warren 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 the Democratic Party
The speech, titled "Future of the Democratic Party, Building a Big Tent Ahead of 2026 Midterm Elections," also served as a blueprint for her party's recovery. Following significant electoral losses in 2024, Warren asserted that merely attacking Trump is insufficient for rebuilding a winning coalition.
"A Democratic party that worries more about offending big donors than delivering for working people is a party that is doomed to fail – in 2026, 2028 and beyond," she declared. She called for the party to earn long-term, durable trust by focusing on policies that lower costs for average American families, even when it means confronting wealthy and powerful interests.
Warren cautioned against the temptation to "sand down our edges" to avoid offending potential donors. "We can't rebuild trust by staying silent about abuses of corporate power and tax fairness," she insisted.
Learning from Trump's Rhetoric, Delivering Real Results
In a notable tactical observation, Warren suggested Democrats could learn from Trump's 2024 campaign messaging. She noted that Trump consistently promised to lower costs for families, a pledge she argues he has betrayed since taking office, with costs instead rising 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. Her address framed the protection of independent institutions like the Federal Reserve and a clear, populist economic agenda as central to the Democratic Party's future success.
