Summary
Former President Donald Trump announced he is firing Federal Reserve Governor Lisa Cook due to allegations of mortgage fraud. Cook, who was appointed by President Biden, refuses to resign, stating Trump lacks the legal power to remove her. This situation could lead to a legal battle and affect the independence of the Federal Reserve.
Key Facts
- Donald Trump announced the firing of Federal Reserve Governor Lisa Cook, citing mortgage fraud allegations.
- Lisa Cook refuses to step down and claims Trump lacks legal authority for her removal.
- Bill Pulte, appointed by Trump, accused Cook of mortgage fraud involving properties in Michigan and Georgia.
- The firing could lead to a legal case, potentially going to the Supreme Court.
- Trump's action might affect the Federal Reserve's independence, important for controlling inflation.
- Cook is the first Black woman on the Federal Reserve's board, appointed by President Biden in 2022.
- U.S. markets showed a slight decline following Trump's announcement.
- Legal experts say a "for cause" dismissal requires a proper legal procedure, which has not occurred.
