Jim Power

But his appointment is being blocked by one of the Fed members who says that he will not vote for his nomination until Trump drops the lawsuit against Jay Powell online.

I think that's a senator who's blocking that.

Was that a senator?

Sorry, I beg your pardon.

Sorry.

You correct me correctly.

Absolutely.

No, but it's interesting.

Kevin Warsh himself, he has also gone on the record of saying that the AI boom will be the most productivity enhancing waves of our lifetime, past, present and future, and that AI advances will allow the Fed to cut rates without impacting on inflation.

Of course you could.

Yeah, but you could also argue that this is a sort of new economy stuff.

Do you remember when the internet arrived?

This time it's different.

No, it's going to be really interesting because another way of looking at it is, and I'm certainly starting to see this,

There's an awful lot of nervousness about future employment prospects and the impact of AI.

And, you know, as labor costs rise, more and more firms will push to substitute labor with technology, basically an AI enhanced technology now.

Yeah, but it could actually create a lot of nervousness in labour markets and that could impact on employees' wage demand.

So it could actually be depressing for wage growth as well.

Yeah, but I guess from a financial market point of view, the point really is that what your man Hunstead was saying in recent days, that Kevin Warsh, the incoming chairperson of the Federal Reserve, agrees with that view of the world.

Whether he does or not, that's irrelevant.