Donald Trump’s firing of Federal Reserve Governor Lisa Cook raises concerns over central bank independence, with markets reacting ahead of the September meeting amid dollar weakness and increased volatility expectations.
On August 26, Donald Trump announced the dismissal of Federal Reserve Governor Lisa Cook, a move that heightened concerns over the central bank’s independence and policy direction. The development follows earlier warnings from former Merrill Lynch economist Saul Esleck, who cautioned that White House interference could undermine the U.S. dollar’s stability. The announcement triggered a weakening of the dollar and a rise in risk sentiment, with analysts forecasting heightened volatility across Bitcoin and traditional financial assets as the September Fed meeting approaches.