
Economist Podcasts Independence Jay? Inflation and attacks on the Fed
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Jan 14, 2026 Archie Hall, U.S. editor at The Economist, delves into the intricate balancing act of the Federal Reserve amid political pressures and unyielding inflation rates. He highlights the potential risks of losing central-bank independence. Meanwhile, John Peet analyzes the lasting economic toll of Brexit, revealing resilience in the City despite investment setbacks. Catherine Nixey explores how self-help books mirror societal anxieties, advocating for 'unselfing' as a more effective remedy than traditional self-help advice.
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Markets Stayed Calm Despite Political Shock
- Markets reacted modestly: metals jumped but bond yields did not spike and stocks only dipped briefly.
- Archie Hall suggests Trump's quick walk-back and investor expectations limited a larger market shock.
Pressure Seeks To Shape Future Fed Leadership
- The pressure campaign may aim beyond Powell to reshape the Fed's future leadership and voting bench.
- Archie Hall warns that appointments and other pressures could slowly tilt the Fed toward White House preferences.
Why Eroding Fed Independence Is Risky
- Full political control of the Fed could lead to dangerous inflationary outcomes like in Turkey or Argentina.
- Archie Hall stresses many legal, institutional and market roadblocks still make that extreme unlikely but warns it's a troubling hypothetical.














