Fed's Miran (Voter, Dove) says tax law changes will benefit the economy

• Monetary policy should be attuned to the business cycle.
• Fed independence leads to better policy.
• There is no 100% central bank independence.
• The Fed should keep a distance from topics that are not monetary policy.
• Reasons to think fiscal dominance won't be a big issue.
• Is not worried that tariffs will impair the value of the Dollar.
• Dollar pass-through to inflation is not a main issue.
• Dollar's moves don't have a big impact on monetary policy, have been relatively modest.
• Tariffs allow for lower interest rates over time.
• Ai is impacting the economy, but it is hard to measure.
• Reiterates that tariffs are not a big driver of inflation.

Fed's Miran, a dovish voter, underscores the notion that tax law changes can bolster economic activity. His comments suggest a framework where monetary policy remains responsive to the business cycle, potentially signaling a more accommodative stance on interest rates amid concerns about fiscal dominance and inflation being less influenced by dollar fluctuations. Traders should note that these insights may influence the market's perception of the Fed's future actions, especially regarding rates and currency strength.