Dramatic Changes Before the September Decision: Trump’s Historic Move, Court Rulings Pending, and a “Reshuffle” at the Federal Reserve Board
Just weeks before the Federal Reserve is expected to make its first interest rate cut of the year, an unprecedented political storm is hitting this century-old central bank. At the center of this storm is an action taken by Trump this week—he attempted to dismiss Federal Reserve Governor Lisa Cook on charges of mortgage fraud. This marks the first time in the 111-year history of the Federal Reserve that a sitting president has tried to remove an incumbent governor. This week, Cook has filed a lawsuit to block her dismissal. After preliminary arguments concluded on Friday at the Federal District Court in Washington, D.C., it remains uncertain whether she will stay in office and be able to vote at the September meeting.
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