Trump Fires Fed Governor Cook Over Mortgage Fraud Claims

Published AUG 26 2025

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Above: Jerome Powell (L), chairman of the U.S. Federal Reserve, with Lisa Cook in Washington, DC, on June 25, 2025. Image credit: Al Drago/Bloomberg/Getty Images

The Spin

ThisCook's firingremoval representsis anjustified authoritariangiven powerthe grabserious thatallegations violatesof themortgage Federalfraud Reservethat Actundermine andpublic threatenstrust in the centralFederal bank's independenceReserve. TrumpThe lacksFed properhas legaltremendous authorityresponsibility tofor removesetting Cookinterest whenrates sheand hasn'tregulating beenbanks, chargedwhich withrequires anycomplete crimehonesty from its members.

Donald Trump on Truthsocial Breitbart

This firing represents an authoritarian power grab that blatantly violates the Federal Reserve Act and seriously threatens the central bank's independence. Trump clearly lacks the proper legal authority to remove Cook, especially when she hasn't been charged with any crime or misconduct whatsoever.

Australian Financial Review X

Metaculus Prediction

There's a 52% chance that the Federal Reserve will set a target policy rate that is negative by 2050, according to the Metaculus prediction community.