In late January, the Supreme Court held a review of a case of Lisa Cook which involves the independence of the Federal Reserve Board. The Solicitor General agreed that an independent Board was desired, Congress had over the years exempted the Federal Reserve Board from appropriations of funding, and other aspects which reinforced the independence of the Federal Reserve Board.

In an article by Ann E Marimow of the New York Times News Service, at the Supreme Court the lawyers take turns answering questions of the 9 Justices of the Supreme Court. Sometimes the Justices lean one way or another in their interpretation of the law and the lawyer has to consider what the founders did and wanted and what other Supreme Courts have said and how to interpret it to the present situation.

The issue of the case is the Solicitor General believes the President has the power to remove a Federal Reserve Board for reason. The opposing lawyer believes the reason given the mortgage situation is not a valid reason given that the facts were never decided before the rushed hearing, on Page 2 of the application the purpose of the home was a vacation home and the signatures were done before Ms. Cook went through the Senate process of being nominated and approved.

Justices from across the ideological spectrum questioned whether the allegations President Trump lodged against Ms. Cook – were serious enough to allow the President to fire her.

They also questioned whether Ms. Cook received proper notice and had sufficient notice to respond a notice. The Solicitor General noted that the notice was a post in Truth Social and Ms. Cook never responded.

One of the Judges asked if the Social Media post was enough? the Justice could have asked how many times does the President post in Truth Social? is every post considered government policy or notice to senior officials?

Key justices sharply questioned the Solicitor General about the implications of the independence of the Fed and the economy. Justice Kavanaugh asked a number of questions about the independence, then asked if the President can remove Ms. Cook over the mortgage application, does it not mean future Presidents will find something on a Justice and go after them to create an opening which means the independence of the Federal Reserve which is highly valued does not exist.

Linking to dividend paying stocks, the market exists and there are reasonably expectations about the rules governing the markets. The Federal Reserve sets interest rates based on inflation pressures and other factors, politicians often see things as simple, others see it as complex. Those that see it as simple want lower interest rates, however if the market does not see the decision-making process as a fair one, then money might find other directions to go.

There are more questions than answers, till the next time – to raising questions.