Mubasher: Federal Reserve Chairman Jerome Powell maintained that the central bank’s independence at a Democratic retreat in Virginia, according to Bloomberg, citing two sources in the closed-door event.

Chairman Powell also dismissed, in the gathering with Democratic lawmakers, that the Fed considers any sort of political pressure, the sources said.

In the meeting, many of the group of legislators voiced their concerns about the Fed’s independence against the backdrop of US President Donald Trump’s repeated criticism of the central bank, according to Bloomberg.

Worries about the Fed’s independence were further fanned with President Trump’s announcement that he would nominate businessman Herman Cain and conservative activist Stephen Moore to the central bank’s board.

Powell abstained from commenting on Trump’s remarks and nominations, while he pointed that the interest rates are at just the right level, amid the current economic conditions.

The fruits of the US economic growth have not been as widely seen as the Fed aims, the central bank’s head said.

While declining to comment on some aspects of fiscal policy, Powell supported the earned income tax credit as a means for wider distribution of wealth.

In addition, he also warned against the widening budget deficit as an unsustainable path, pointing that the US does not have unlimited resources, Bloomberg said.