Former Treasury Sec. Jack Lew: Fed independence is one of the underpinnings of our economy

Summary

Jack Lew, former U.S. Treasury Secretary and Ambassador to Israel, discusses the Justice Department investigation involving Fed Chair Powell and defends Federal Reserve independence. He argues that political or judicial pressure on the Fed is troubling and cites historical examples of central-bank pressure causing inflation. Lew also says the Fed should keep making rate decisions based on data and has been appropriately cautious.

• Jack Lew joins CNBC to discuss the DOJ investigation and Fed independence.
• Lew calls efforts to pressure the Fed through judicial investigations troubling.
• He says Fed independence is a foundational support for the U.S. economy.
• He cites Turkey as an example of inflation damage from political pressure on central banks.
• Lew defends Powell's testimony and federal building renovation cost explanations.
• He says the Fed should keep making data-dependent rate decisions.
• Lew views the Fed's cautious pace as appropriate despite administration pressure.