Wall Street strategists say investors are becoming more concerned about said independence as President Trump seeks to impose his will on the central bank. Jp morgan analyst wrote to clients that, quote, Markets have become more concerned over Fed independence as there are signs of a Fed inflation trade. Goldman Sachs analyst also noted growing concerns around Fed credibility.Let's get Morgan Stanley's take. Joining us now is Mike Wilson, who is the firm's chief U.S. equity strategist and CEO. Mike, thanks f ...

All right, welcome back to the exchange. We've got breaking news out of Washington DC. Steve Leeman has that story.Steve, Dom, thanks. We have the opening statement for Steven Meyer. He is the candidate for a Federal Reserve job uh that is open right now.And he is going to say that independence of monetary policy is critical for its success. He pledges or he says he intends to preserve the independence of the Fed. That is a obviously a question when it comes to uh appointees of President Trump to the Federa ...

The president has broken a decades-long norm that Fed independence is sacrosanct. A collapse of faith could cause problems across markets https://t.co/L5Mw8qQhTK ...

And now let's bring in Muhammad Ali and he's Alan's chief economic adviser. It's good to have you back. Thanks for being on.Thank you, Scott. So we we keep discussing this in the context of Fed independence being at risk. At what point do you personally say, you know what, that was it.It is no longer independent because of what just happened. What is that moment. So, I don't think we're there yet, but we're getting closer to it.And what worries me, Scott, is as complex as what Aean just told us, and his phr ...

I want to start with this morning's PC figure. Of course, coming in, being in line with expectations on pretty much every single measure. What do you make of a print such as that where there were no surprises at all when you're thinking about how the Fed is actually going to proceed next month.So with everything that we're dealing with this year, a number that comes as expected is actually not a bad thing. We're hoping for a quiet day, so it comes in as expected. To your point, it is above the 2% inflation ...

Steve, instead of talking about the case for a moment, I just like to kind of understand from your perspective what may happen to Cook regardless of what happens in court today, I guess, in the sense of I mean, she's right. She's suing it Powell now, right. Um, does Powell have to open an investigation regardless.I guess I wonder in the same way they did with Clar with Kaplan and the like. uh and would that conceivably result in her leaving the Fed anyway at some point as a result even if this goes nowhere ...

Our next guest sounding the alarm. This is now months ago on the dangers of the Trump administration attacks on the Fed. Joining us right now is Facebook co-founder Chris Hughes.He is co-chair of the Economic Security Project and author of the book Market Crafters. It was published in April, which covers how the Fed has shaped markets over the last century. His April New York Times oped warned that the president's attack on the central bank undermined Fed independence.And we want to get into all of it. Uh C ...

Streetwise: Anyone concerned about Trump undermining Fed independence was surely already concerned, writes James Mackintosh https://t.co/AeuGMh67ul ...

Fed Independence & Monetary Policy - The markets are currently focused on the short run, particularly the upcoming Fed meeting in September, while the long-run economic effects of current events, such as potential higher inflation and long-term bond yields, are being overlooked [2][3][4] - Maintaining an independent monetary policy is crucial because monetary policy affects the economy in the long run, and an independent central bank focuses on long-term price stability and maximum employment goals [4][5] - Concerns exist that the government is pressuring Fed members, escalating from earlier instances like considering firing the chair, potentially undermining Fed independence [5][6] - The public nature and vitriol of the attacks, based on allegations and innuendo without due process, are unprecedented and could lead to the removal of officials based on arbitrary reasons, jeopardizing Fed independence [7][8] - Undermining Fed independence could negatively affect the American economy, households, and businesses, even if policymakers remain unbiased, as the mere perception of political influence can impact markets [9] Political Influence & Board Composition - There is concern about the possibility of a political majority on the Fed board influencing the reappointment of the 12 Federal Reserve presidents, potentially leading to a significant shift in the Fed's composition [10][11][12] - The reappointment process involves an objective performance evaluation by the boards of directors of each reserve bank, but concerns exist that political considerations could override this process [13][14] - In a normal case, Fed governors would not refuse to reappoint someone based on a whim or policy views; there would have to be a substantive issue [15] Lisa Cook & Due Process - Lisa Cook is listening to her legal counsel, and it may not be the right time for her to publicly defend herself [19] - The situation has moved beyond a normal internal investigation process and has become a legal case, circumventing standard procedures [20][21] - If a president can remove someone based on allegations without facts, Fed independence is lost, highlighting the damaging nature of the situation [22]

Our next guest is a former Fed vice chair. He's now a CNBC contributor. Roger Ferguson joins us now.It's good to see you. Welcome to our show. Thank you.Nice to be here. What do you make of this whole Lisa Cook story. Well, look, I think you put in the right context.This is really a story about trying to undo what has been 90 years of Fed independence. What most people don't know is 90 years ago in 1935 the Congress restructured uh the Fed. It removed uh executive authority, executive branch authority by ta ...