Today, Congresswoman Maxine Waters (D-CA), the top Democrat on the House Financial Services Committee, delivered the following opening statement during a full Committee hearing entitled, “The Federal Reserve’s Semi-Annual Monetary Policy Report.”
Good morning, everyone. Welcome, Chair Powell.
Our country is on the precipice of an economic disaster unlike any we’ve seen in recent memory. While Trump promised lower prices for working-class families, we’re seeing the exact opposite. In fact, grocery prices are rising. According to the Labor Department, eggs are 40% more expensive than they were a year ago. In my home state of California, we’ve seen eggs as high as $9 and more, for a dozen. Inflation is rising and is up to 3% for the first time since June. And other staples are about to get more expensive as Trump levies new taxes on steel and aluminum.
America’s consumers and businesses are facing uncertainty and chaos. This is all because Trump and his un-elected billionaire co-President, Elon Musk, are taking a sledgehammer to our economy and democracy. In recent days, they’ve attempted to illegally kill the Consumer Financial Protection Bureau, the same agency created after the financial crisis of 2008. Since its inception CFPB has successfully fought on behalf of working-class families against abusive big banks and predatory lenders and not to mention, returned $21 billion back to families who were swindled. Chair Powell, you explained yesterday that with the CFPB shutdown, there is no agency to supervise big banks to ensure they follow consumer finance laws.
In the face of these illegal, cruel, and relentless attacks, Chair Hill, it is both urgent and critical that you immediately convene a long-overdue hearing with CFPB Acting Director Vought. Members of Congress and importantly, the American public deserve answers as to why Musk and his DOGE minions are in possession of sensitive consumer information and what they are doing with it.
Additionally, Trump is simultaneously threatening import taxes on U.S. companies that will increase the cost of groceries and other basic supplies for all. Trump is freezing funds for housing assistance and community development and whittling down the federal workforce so that his Billionaire Boys Club can suck any these workers’ salaries into their own pockets.
This is all part of Trump’s Project 2025 playbook. You know what else he’s taking from Project 2025, Chair Powell? Their plan to eliminate the Fed. We’re watching this play out as Trump doubles down on his efforts to gut the independence of the Fed, as we’ve seen with demands that you drop rates immediately. In fact, his co-President Musk attacked Fed independence in a tweet earlier this week.
Chair Powell, I know you have been adamant about the independence of the Fed and have, thus far, resisted pressure from Trump, but after your decision to eliminate DEI initiatives following Trump’s illegal order, I am concerned that Trump has more influence over you than you let on. I speak for all my colleagues on the Democratic side when I say that you must stand firm in defending the Fed’s independence, reject any attempt by Elon Musk and his DOGE minions to gain access to the Fed, its systems and data, and, speak forcefully about what’s at stake for our economy. The American public must hear this from you, our central bank, today.
I yield back.
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