"An appeals court ruled Monday that Lisa Cook can remain a Federal Reserve governor, rebuffing President Donald Trump's efforts to remove her just ahead of a key vote on interest rates. The Trump administration is expected to quickly turn to the Supreme Court in a last-ditch bid to unseat Cook. The Fed's next two-day meeting to consider its next interest rate move begins Tuesday morning."
"Separately, Senate Republicans on Monday confirmed Stephen Miran, Trump's nominee to an open spot on the Fed's board. Barring any last-minute intervention from the Supreme Court, the Fed's interest rate setting committee will meet Tuesday and Wednesday with all seven governors and the 12 regional bank presidents. Twelve of those 19 officials will vote on changing the central bank's short-term rate: All seven governors plus five regional presidents, who vote on a rotating basis."
"Trump sought to fire Cook Aug. 25, but a federal judge ruled last week that the removal was illegal and reinstated her to the Fed's board. Trump appointee Bill Pulte has accused Cook of mortgage fraud because she appeared to claim two properties as "primary residences" in July 2021, before she joined the board. Such claims can lead to a lower mortgage rate and smaller down payment than if one of them was declared as a rental property or second home."
An appeals court ruled that Lisa Cook can remain a Federal Reserve governor after the White House attempted to remove her before a key interest-rate vote. The Trump administration plans to seek Supreme Court review, and Cook's lawsuit seeking to permanently block her firing remains pending. No president previously has fired a sitting Fed governor in the central bank's 112-year history. Senate Republicans confirmed Stephen Miran, filling an open board seat. The Fed will meet with all seven governors and 12 regional presidents present, with 12 officials eligible to vote on the short-term rate. Chair Jerome Powell signaled a likely modest rate cut.
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]