NEC Dir. Hassett: Kevin Warsh Is an Independent Minded Person, So I’m Not Going to Give Advice About Interest Rates

EXCERPT:

HASSETT: “Well, as you know, Joe, we've got an enormous supply shock right now, both from AI and even just from ordinary capital spending. We had a March non-defense capital goods orders number of 3.3, which is about the biggest monthly number, not at an annual rate, 3.3, you know, for a month that I've ever seen. So capital stock growth is high, productivity growth is high, that puts downward pressure on prices. But, you know, we respect the independence of the Fed, especially now that there's an independent-minded person there like Kevin Warsh, or about to be. And so I'm not going to give advice about interest rates.”