The US Federal Reserve has begun a two-day meeting with new Governor Stephen Miran joining the deliberations after being sworn in earlier this week. The unusual circumstances have changed what was initially expected to be a risk assessment meeting into a benchmark of President Donald Trump’s efforts to influence monetary policy.
President Trump signed documents allowing Miran, who is on leave as head of the White House’s Council of Economic Advisers, to join the Federal Reserve’s Board of Governors. This decision comes after a federal appeals court blocked the firing of Governor Lisa Cook, citing lack of due process. Cook will now participate fully in the policy meeting.
The Fed is widely expected to cut its benchmark overnight interest rate by 0.25% to the 4.00%-4.25% range. Despite the personnel drama, markets have reacted cautiously so far. New data shows stronger-than-expected import prices, healthy consumer spending, and better-than-anticipated industrial output countering concerns about a fast slowdown and rising unemployment.
The Fed will release its policy statement and updated quarterly economic projections on Wednesday, which may show differing views among policymakers on how much monetary policy should be eased over the coming months. Investors currently expect three quarter-percentage-point rate cuts this year, but there are divergent views among Fed officials on how to proceed.
Source: https://www.reuters.com/world/us/fed-now-avoids-shock-independence-after-cook-ruling-miran-sworn-governor-2025-09-16