“No Authority to Do So”: Lisa Cook Defies Trump’s Attempted Ouster

President Donald Trump announced Monday that he had fired Federal Reserve Governor Lisa Cook, citing allegations of false statements on mortgage applications. The unprecedented move, which Trump posted in a termination letter on Truth Social, comes as part of his escalating campaign against the Fed for refusing to cut interest rates. Cook, the first Black woman to serve as a Fed governor, rejected the action, stating Trump has no legal authority to remove her and vowing not to resign. She has retained high-profile attorney Abbe Lowell to fight the move, which could ultimately be decided in federal court. Critics, including Senator Elizabeth Warren, blasted Trump’s attempt as an illegal power grab undermining the independence of the central bank. If successful, Trump would gain the chance to reshape the Fed’s board with a majority of his appointees. Markets and legal experts are now bracing for what could be a high-stakes battle over the limits of presidential power and the future of the Federal Reserve’s independence.