Trump Seeks Fed Control Amid Lisa Cook Removal Dispute

President Trump is actively attempting to reshape the Federal Reserve Board by seeking to replace Governor Lisa Cook, whom he claims to have fired, despite legal challenges asserting he lacks the authority to do so. Potential replacements include Stephen Miran and David Malpass, both aligned with Trump's desire for quicker interest rate cuts, signaling the White House's intent to exert strong influence over monetary policy. This move represents a significant escalation in Trump's efforts to consolidate power, challenging the Fed's long-standing independence designed to shield monetary policy from political pressures. Legal battles over Cook's removal are expected to test the limits of executive power and the judiciary's role, particularly given the Republican-majority Supreme Court's potential involvement. If successful, Trump could secure a majority on the Fed, enabling him to control the Federal Open Market Committee and influence key decisions affecting the economy, housing market, and global financial stability. The situation raises concerns about the erosion of institutional checks and balances essential to maintaining the Fed's credibility and the U.S. dollar's reserve currency status.