Former Dallas Fed Pres. Richard Fisher: Fed Chair Powell has 'done a very good job'

Federal Reserve & Monetary Policy - The market is awaiting the June jobs report, a key data point influencing the Federal Reserve's (Fed) next move, amid renewed pressure from President Trump to cut rates [1] - The discussion revolves around President Trump's criticism of Fed Chair Jay Powell and whether Powell has any leverage in the situation, such as stepping down as chair but remaining a governor [2] - Historical context reveals that presidential pressure on the Fed is not unique to Donald Trump, citing examples of Lyndon Johnson and Ronald Reagan [3][4] - The President's pressure is understood as political, driven by the belief that Fed rate cuts will lower consumer costs, although the Fed doesn't control the entire yield curve [5] - The jobs numbers will have a bigger impact on the next meeting in September than the President's comments [6] - The independence of the Fed is a key concern, particularly regarding the appointment of a potential "Trump lackey" who might infringe upon this independence [7][8] - The Federal Reserve is credited with keeping inflation at 1.7% and maintaining relatively good employment health [9][10] - Concerns exist that excessive accommodation by the Fed could lead to a significant inflation problem, similar to the Arthur Burns era [20][21] Market Reaction & Economic Indicators - The bond market is trading as if the next Fed chair will lower rates, despite reasons for bond yields to be higher, such as a weaker currency and a rising deficit [16][17] - Warrant data, indicating significant layoffs and changes in employment, is up, suggesting potential weakness in the employment picture [18] - While the unemployment rate is around 4.5%, it's still historically low [18]