WASHINGTON — The U.S. Supreme Court will address President Donald Trump’s attempt to fire Federal Reserve Board governor Lisa Cook in January, as per an order filed Wednesday. The court deferred Trump’s request to halt a lower court’s ruling, which allows Cook to remain in her position, until oral arguments are held early next year.
Trump’s effort to remove Cook from the Federal Reserve Board of Governors began in late August, citing false information on a mortgage application. A federal district judge supported Cook in September after she challenged the dismissal. A split decision by a three-judge panel later upheld the ruling, allowing Cook to retain her role.
Trump petitioned the Supreme Court, marking another appeal since his second term began, potentially impacting his executive authority. The White House remains confident in the legality of Cook’s termination.
White House press secretary Karoline Leavitt stated, “Look, we have respect for the Supreme Court but they’re going to hear the actual case and make a determination on the legal argument in January. And we look forward to that because we maintain that she was fired well within the president’s legal authority to do so. She was removed from the board. And we look forward to that case being fully played out at the Supreme Court.”
This legal clash underscores Trump’s ongoing involvement with the independent central bank. Trump’s social media attacks on Federal Reserve Chair Jerome Powell coincide with his push for lower interest rates. Recently, White House economist Stephen Miran joined the board, taking leave as chair of the White House Council of Economic Advisers.
In September, the Fed reduced interest rates by a quarter percentage point for the first time since 2025, with Miran casting the sole vote against, advocating for a larger cut. Cook, appointed by former President Joe Biden in 2023, was confirmed by a 51-47 Senate vote.
The Federal Reserve aims to maximize employment and stabilize prices, utilizing interest rate adjustments to manage inflation and stimulate economic growth.
