Pres. Trump wants a scapegoat for his base, says Fmr. Dallas Fed Pres. Fischer on feud with Powell

Monetary Policy & Inflation - The former Dallas Federal Reserve president suggests that inflation is running closer to the 3% level, which should ideally lead to a positive real return to encourage capital formation for businesses [4] - The analysis indicates the current situation marks the first rate cut with the PCE (Personal Consumption Expenditures Price Index) and other inflationary measures at relatively high levels [10] - Some Fed members are perceived to be advocating for multiple rate cuts, potentially five cuts, indicating a divergence in views within the committee [6] Employment & Fiscal Policy - Weak employment statistics are attributed to fiscal and immigration policies [5] - The analysis suggests that presidents often prioritize employment data due to its impact on voter sentiment [10] Federal Reserve & Political Influence - A Fed member is perceived to be aligning with the president's wishes rather than adhering to objective central banking principles [6][14] - The analysis suggests this member's influence within the committee is minimal, which is considered a positive aspect [7][8] - The president's desire for rate cuts is linked to appealing to a specific demographic, those without higher education who are economically distressed, although the direct impact of Fed funds rate on their financial burdens is limited [13]