Government shutdown underscores need for Fed's independence, Kansas City Fed's Schmid says

Nov 14 (Reuters) - That the Federal Reserve continued to function during the U.S. government shutdown is one more reason that the U.S. central bank needs to stay independent, Kansas City Fed's Schmid said.

"There's probably a real good lesson in the whole issue of independence to have an entity like a central bank that will continue to move that flow of money," Schmid told an energy conference co-hosted by the Kansas City and Dallas Fed banks. "Because I think if that work is stopped, I think that would create a real shock to the system."