Lev Menand on Trump's Attempt to Fire the Fed's Lisa Cook
Episode publishedPodcast: Odd LotsOdd Lots
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Hello, and welcome to another episode of the Odd Lots Podcast. I'm Tracy Allaway.
And I'm Joe Wiesenthal.
Joe, another day, another emergency episode.
I mean, we're back to emergency episodes, and this is obviously one of the big ones.
Yeah. So we are recording this on August 26, and we had news overnight that President Donald Trump intends to fire Lisa Cook from the Federal Reserve Board. Obviously, this feeds right into the debate over central bank independence and what the president actually has a right to do when it comes to hiring and firing. And the market reaction this morning, gold up a bit, the dollar down. But what's really interesting is we have yields at the long end of the treasury market picking up, which would suggest there's more of a risk premium being built into that market.
No, totally. The concerns over Fed independence sort of cast a whole shadow of the recent Jackson Hole event. And of course, okay, so we're recording this August 26. This morning, an episode with Adam Posen, which was sort of about this surreal experience there where everybody knew that the threat to central bank independence were the number one story in monetary policy, and yet no one was really talking about it. Maybe people were trying to lay low, trying to act business as usual. And then we get this. And so what was something that maybe people hope to imagine a way or sort of not, you know
Well, we also had Trump tweeting that he wanted to fire while Lisa Powell was giving his speech, which definitely underscores the tone of Jackson Hole recently. Okay. So there's clearly a lot to talk about, including whether or not Trump can actually do this from a legal perspective. And I am glad to say we have the perfect guest, someone we have spoken to before on this exact topic of central bank independence. We're going be speaking with Lev Menand, professor at Columbia Law School and also the author of The Fed Unbound. Lev, thanks so much for coming on the show again.
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