The Federal Reserve's credit alarm is sounding! Former New York Fed President warns that the 2% inflation target has been missed for five years, and the logic behind the "Powell era" rate cuts is becoming increasingly weak.

According to the Wise Finance app, former New York Fed President Bill Dudley recently warned in a media interview that the Fed is facing a major risk of losing its anti-inflation credibility after failing to achieve the 2% inflation target for a long time. Dudley said that especially with the new Fed Chairman nominated by President Trump, Powell, there may be a situation where interest rates are lowered against the trend under presidential pressure, which will further exacerbate the Fed's credibility crisis.