President Says Incoming Fed Chair Will Set Interest Rates Independently

The statement marks a change in tone after more than a year of public pressure on the central bank.

Officials described the comment as an effort to give the new chair room to operate. Market participants had been watching for any signal about how the administration would treat the incoming leadership.

Traders responded to the remarks with modest moves in bond yields and equity indexes. Analysts noted the comments could reduce uncertainty about future policy direction.

Background The remarks come after repeated calls for lower rates in prior months.

Fed watchers had prepared for continued public commentary on monetary policy. No specific rate path or timeline was provided in the statements.