US Appeals Court Blocks US President Donald Trump’s Attempt to Fire Fed Governor Lisa Cook

A US appeals court has declined to allow President Donald Trump to fire Federal Reserve Governor Lisa Cook. The decision is the latest in a legal battle that threatens the Fed’s longstanding independence. The decision split along party lines marks another defeat for the White House’s efforts to control the Fed and economic policy. The Court of Appeals for the District of Columbia Circuit said in an emergency ruling, President Trump cannot remove Lisa Cook from the Federal Reserve’s Board of Governors for now.
 
The decision means that Cook can, for now, remain at the Fed ahead of its policy meeting today and tomorrow, where it is expected to cut US interest rates to shore up a cooling labour market. The administration is expected to appeal the ruling to the US Supreme Court.
 
Trump had sought to oust Cook over allegations of mortgage fraud, though Cook has not been charged with any wrongdoing. This was the first time a President has pursued such action since the central bank’s founding in 1913.