Trump says he’s fired Fed governor Lisa Cook

 

Her attorney, Abbe David Lowell: “We will take whatever actions are needed to prevent this attempted illegal action.”

https://www.marketwatch.com/story/trump-says-he-has-fired-federal-reserve-governor-lisa-cook-9a032f11


https://englundmacro.blogspot.com/2025/08/the-talk-about-federal-reserves-next.html


Markets are underestimating the threat that the president’s move to oust Lisa Cook represents.
Never before has a president tried to fire a Fed governor, and there’s much more at stake than one person’s job.

Certainly they understand that refusing to reappoint Fed presidents who don’t favor cutting interest rates sharply would be a nuclear option, severely undermining their own credibility in the execution of monetary policy.

So far, investors seem to be taking developments in stride. Markets are too complacent. 

The threat to the Fed’s independence — along with the risk of uncontained inflation, much higher long-term borrowing costs and a significantly weaker dollar — isn’t going away.
Bill Dudley Bloomberg  27 August 2025
https://www.bloomberg.com/opinion/articles/2025-08-27/trump-the-fed-and-independence-now-i-m-worried




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