Bond market anticipated Supreme Court ruling on Fed's Lisa Cook: Bullard

• The Supreme Court blocked the firing of Federal Reserve Governor Lisa Cook, a decision that bond markets had largely anticipated, resulting in no significant movement in Treasury yields.
• The ruling reinforces Fed independence, a point highlighted by Chief Justice Roberts, but does not impact Fed Chair Powell's commitment to staying on or the overall sentiment of the FOMC.
• The FOMC has adopted a clearly hawkish position, with core PCE inflation well over 3%, which Bullard considers a 'red line' requiring action, indicating that rate cuts are 'off the table for now'.

Former St. Louis Fed President Jim Bullard discusses the Supreme Court's decision to block the firing of Federal Reserve Governor Lisa Cook, noting that bond markets had largely anticipated the ruling. He emphasizes the decision's importance for Fed independence but states it won't alter the FOMC's current hawkish stance, which remains focused on bringing core PCE inflation down from above 3%.