CNBC Daily Open: Trump’s threat to intervene in Fed could cause upheaval

An independent central bank is seen by most (including this newsletter) as the bedrock of a functional economy. Officials steer the economy by calibrating the benchmark interest rate on which bank loans and mortgages, among other debt, are based.

Corporations and consumers, in general, like low interest rates because the cost of borrowing is cheaper. The former is incentivized to expand and invest, which, in turn, tend to increase income and spending among the latter. But such behavior can overheat the economy, causing prices to shoot up.

U.S. President Donald Trump's repeated calls for Federal Reserve Chair Jerome Powell to cut inte...
[Short citation of 8% of the original article]