Risk of Powell ouster is underpriced, Deutsche Bank strategist says

President Donald Trump’s potential dismissal of Federal Reserve Chair Jerome Powell is a major and underpriced risk that could trigger a selloff in the US dollar and Treasuries, a Deutsche Bank AG strategist said.

Trump this week said Powell should “resign immediately,” if allegations from an administration official that the central banker misled lawmakers over renovations to the Fed’s headquarters prove true. The remark added to growing criticism of the Fed chair by Trump, who has demanded...