Trump Escalates Conflict with Federal Reserve over Governor Removal

President Trump has escalated his confrontations with the Federal Reserve by moving to immediately remove Fed Governor Lisa Cook, citing allegations of mortgage fraud as justification. Cook has refused to resign, and Federal Reserve Chair Jerome Powell has asserted that Trump lacks the authority to unilaterally remove Fed governors, emphasizing the Fed's legal independence. This unprecedented action has sparked legal and political disputes, with experts noting the requirement for cause such as malfeasance to justify removal, a standard that may protect Cook. The move has unsettled financial markets, weakening the U.S. dollar and raising concerns over the Fed's independence, which underpins global monetary stability. Trump's broader campaign to reshape the Fed aligns with his push for rapid interest rate cuts, a stance Powell has resisted despite recent indications of a potential rate reduction. As the conflict intensifies, it is expected to culminate in a Supreme Court showdown that could redefine the limits of presidential power over independent agencies.