The Federal Reserve is facing controversy over its monetary policy decisions. Recently, the Fed cut interest rates for the first time since December by 0.25 percentage points. However, some governors are questioning the decision due to potential politics involved. Governor Lisa Cook was only able to attend a meeting because of a court ruling that prevented President Donald Trump from firing her, while another governor, Stephen Miran, joined the committee on short notice and expressed strong opinions in favor of more rate cuts. This is causing concerns about the Fed’s independence and ability to make objective decisions.
The article also mentions other topics such as Elon Musk’s views on Europe’s hard right, global fertility decline, AI investment risks, and Israel’s actions against terrorism. However, the main focus is on the Fed’s monetary policy and its potential politicization.
Source: https://www.economist.com/leaders/2025/09/17/americas-monetary-policy-risks-getting-too-loose