Fmr. Dallas Fed President: New Fed Chair will still have to carry FOMC, despite what President wants

Summary

Richard Fisher, former Dallas Fed President, discusses the standoff between President Trump and Fed Chair Jay Powell, arguing Powell is unlikely to step down and that Fed independence remains critical. He also says a new Fed chair would still need to carry the FOMC, and he does not expect a rate cut at the next meeting. Fisher briefly flags an omitted CPI motor vehicle insurance component.

• Richard Fisher joins CNBC to discuss political pressure on Fed Chair Jay Powell.
• Fisher says Powell should not step down and Fed independence should be preserved.
• He cites support for Powell from global central bankers, bank leaders, and Republican senators.
• Fisher discusses reported Fed chair finalists including Kevin Warsh, Kevin Hassett, Christopher Waller, and Rick Rieder.
• He says a new Fed chair would still need to build consensus on the FOMC.
• Fisher does not expect a rate cut at the next FOMC meeting.
• He notes that motor vehicle insurance was omitted from CPI data and may have added about a tenth.
• The segment is mostly Fed governance and policy commentary rather than specific security recommendations.