Trump Admin Seizes Momentum — Reshapes Fed Leadership

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Trump Admin Seizes Momentum — Reshapes Fed Leadership
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The administration is moving to regain control of the Federal Reserve’s board before the next interest-rate decision. Lawyers asked an appeals court to remove Fed Governor Lisa Cook by Monday so she cannot vote at next week’s policy meeting.

Senate Republicans are racing in parallel to confirm economist Stephen Miran to an open board seat. If seated in time, he would enter a closely watched vote in which markets expect a modest cut and hawkish regional presidents warn against moving too fast.

The legal clash began when the White House sought to fire Cook in late August. A federal district judge ruled the termination unlawful and reinstated her, reading the statute to allow removal of Fed governors only “for cause,” and limiting that cause to misconduct while in office.

Cook has denied wrongdoing tied to allegations that, in 2021, she claimed two different properties as “primary residences,” calling it a clerical error. The administration argues the issue goes to fitness for public trust, even if the conduct predates her 2022 appointment.

In an emergency filing, government counsel said the alleged behavior “indisputably calls into question Cook’s trustworthiness and whether she can be a responsible steward of the interest rates and economy.” They asked the appeals court to reverse the lower ruling by Monday or, failing that, to let the removal take effect pending the outcome of the case.

If the appellate judges rule against the administration, the filing signals a further emergency petition to the Supreme Court. The stated goal is simple and immediate: prevent Cook from casting a vote while the courts decide whether she can lawfully remain on the board.

The clock matters because the FOMC meets next week. Reports suggest the committee is leaning toward a quarter-point reduction, with some voices pressing for a deeper move and others warning that persistent inflation argues for caution. A full board and a tight margin could shape the size of the cut and the signal that follows.

Board composition underscores the stakes. Seven governors sit alongside five rotating regional bank presidents to make policy. Two governors appointed earlier by President Trump—Christopher Waller and Michelle Bowman—often emphasize supply-side growth and vigilance against inflation, while several bank presidents have flagged price pressures as a reason to avoid large cuts.

Miran’s confirmation, if completed in time, could strengthen the case for a bolder reduction and anchor a more growth-focused posture. At the same time, removing Cook before the meeting would deny a dovish vote that could pull the outcome toward a smaller move.

Beyond one meeting, conservatives see a broader principle at work: accountability at the central bank. The “for cause” standard protects independence, but it cannot become a shield against clear questions of candor or compliance. A board that sets the price of money must be beyond reproach.

The district court took a narrow view by tying “for cause” to on-the-job misconduct only. The administration is urging a common-sense reading that serious integrity concerns—whenever discovered—can disqualify a governor from stewarding the nation’s credit and currency.

Policy implications are concrete. Energy producers, homebuyers, small manufacturers, and retirees watch rate moves that affect paychecks, mortgages, and savings. The America First approach demands a Fed that fights inflation, supports growth, and keeps politics out—starting with a board the public can trust.

Democrats will cry “power grab,” but voters asked for competence and speed. The Senate’s push to clear nominees in blocks, coupled with this appeal, reflects a commitment to staff the government and deliver results. That means filling seats, enforcing standards, and aligning policy with prosperity.

Next week will show whether the courts permit Cook to vote and whether Miran takes his seat. Either outcome will echo through markets and Main Street. What cannot waver is resolve: secure the Fed’s integrity, choose growth over drift, and keep faith with families who feel every tick of the rate dial.

Finish the job. Seat qualified governors, enforce the law evenhandedly, and send a clear message: America’s economy runs on trust, not guesswork—and this administration will protect both.


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