Danielle Kaye
New York business reporter

Concern about the Fed’s independence has taken centre stage this year.

Political pressure became an issue for economists and financial markets when President Trump, after returning to the White House, started to push Fed Chair Jay Powell to lower rates and threatened to fire him.

More recently, Trump’s attacks have shifted to an effort to shake up the entire Fed board.

He has tried to fire Fed Governor Lisa Cook, saying she had committed mortgage fraud. Cook denied the allegations and recent financial documents appeared to undercut them. A federal appeals court on Monday ruled that Trump cannot remove Cook, allowing her to stay in her role for the Fed’s policy meeting this week.

On top of that legal battle, Stephen Miran – the current chair of the Council of Economic Advisers – was confirmed by the Senate to join the Fed board, adding to concerns about the central bank’s independence.

Senator Elizabeth Warren, a Democrat, warned that Miran could be seen as a “puppet” who would not be trusted as an independent voice on the board.