Fed Governor Defies Trump’s Dismissal

Federal Reserve Governor Lisa Cook announced that she won’t be resigning on Monday evening, shortly after President Donald Trump stated he was removing her from the board, according to The New York Times.

Trump’s announcement declared that the dismissal was effective immediately, referencing alleged document forgery to secure favorable mortgage rates. While Cook hasn’t faced any criminal charges, Trump claimed that these allegations undermine her credibility, which warranted her removal.

Yet, Cook contended that Trump lacks the legal authority to compel her resignation. “I will not resign,” she asserted in a statement conveyed through her lawyer, emphasizing her commitment to supporting the American economy since her appointment in 2022.

Cook’s legal team labeled Trump’s actions as “illegal,” expressing intentions to pursue appropriate measures in response.

This incident marks yet another chapter in the escalating tensions between Trump and the Federal Reserve. The former president has previously voiced criticism regarding the Fed’s leadership, particularly concerning interest rate management.

Cook, nominated by former President Joe Biden, made history as the first Black woman to serve in this role. She was reappointed last year, with her term scheduled to continue until 2038. Neither Cook nor the White House has immediately responded to requests for comment regarding this situation.