US probe into Fed hits global markets as worry of its independence grows

The implications of this investigation extend beyond the immediate political landscape, as it raises fundamental questions about the autonomy of the Federal Reserve. If the investigation is seen as a successful means for the administration to exert control over monetary policy, it could undermine investor confidence and destabilize global markets. The potential for politicization of the Fed's decisions may lead to volatility, as market participants reassess their expectations for interest rates and economic growth.