Today, the biggest news in the market is that the former president signed an executive order demanding the resignation of Federal Reserve Governor Cook. Let's discuss the impact of this event. On the surface, this continues the former president's pressure on the Federal Reserve and is a further escalation of calls for interest rate cuts.

However, in terms of seriousness, this move could truly shake the "foundation" of the Federal Reserve, directly targeting the interests of the "deep state" behind it; if Cook is replaced, the Federal Reserve Board will lose its 4-3 control, and the re-election veto of local Federal Reserve presidents in February next year could effectively bring the Federal Reserve under the control of the former president.

From the perspective of the historical grievances between the Federal Reserve and the American village chief, eliminating two village chiefs, abolishing four village chiefs, and causing two major economic crises has resulted in the independence of the "third U.S. central bank" - the Federal Reserve. It seems that the American village chief has an obsession with abolishing the Federal Reserve, after all, this is outside his jurisdiction, apart from the fourth power of the three branches of government.

For someone like the former president, who has already consolidated congressional, public opinion, military, police, and even church power, the Federal Reserve is the last fortress not yet conquered. Moreover, it holds the key to the midterm elections - "interest rates". It is completely normal for the former president to want to take it all at once.

From a long-term perspective, the loss of independence for the central bank will make it difficult to control inflation, lead to unrestricted government debt issuance, and ultimately affect the credit of the dollar.

The result in the capital market is: the dollar falls, U.S. bonds fall (especially long-term bonds), U.S. stocks fall; gold rises sharply, and cryptocurrencies rise slightly.