Tue, 16 Sep 2025

Tue, 16 Sep 2025 Federal court blocks Trump from sacking Lisa Cook

Trump is trying to oust Cook from her role as part of a standoff between the president and the US central bank.

* A federal appeals court has ruled that US President Donald Trump cannot remove Federal Reserve governor Lisa Cook from her role.
* The 2-1 ruling means Cook can stay in place for the Fed's policy meeting, where it is expected to cut US interest rates on Tuesday and Wednesday.
* Trump had announced his intention to fire Cook due to allegations of mortgage fraud, which Cook denied.
* This decision has implications for the Fed's independence from politics and its ability to set interest rates without interference.
* The case is a test of a law that allows the president to remove a Fed governor "for cause", but does not define what that means or provide procedures for removal.
* Trump's administration plans to appeal the ruling to the Supreme Court.
* Cook, a Biden appointee and first black woman to serve as a Fed governor, sued Trump in August, claiming she was being sacked for her monetary policy stance.
  >>