U.S. President Donald Trump is demanding that Federal Reserve Governor Lisa Cook resign as the U.S. Department of Justice launches a criminal investigation into the central bank official’s home mortgage.
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“Cook must resign, now!!!” Trump wrote on social media amid allegations of mortgage-related wrongdoing by Governor Cook. The resignation demand comes as President Trump expands his attacks on the U.S. central bank, which he wants to lower interest rates.
This is also the latest example of the Trump administration levying allegations of mortgage-related wrongdoing against the president’s opponents. The Justice Department is also investigating Sen. Adam Schiff and New York Attorney General Letitia James concerning their home mortgages.
Fed Influence
The U.S. Federal Reserve has not commented on the mortgage investigation by the U.S. Justice Department or President Trump’s demands that Governor Cook resign. The latest attack from the White House comes as the U.S. central bank prepares to release information and comments that are likely to influence financial markets.
Later on Aug. 20, the Federal Reserve will release the minutes from its most recent policy meeting, which should provide an indication of where the central bank sees interest rates headed in the year’s second half. On Aug. 22, Fed Chair Powell will deliver prepared remarks and take media questions concerning the state of the U.S. economy and future direction of interest rates.
President Trump has expanded his attacks on the central bank recently as he calls for interest rates to be slashed in order to boost the U.S. economy and stock market. Governor Cook, who was nominated to the central bank by former President Joe Biden in 2022, voted with the majority on the Federal Open Market Committee to keep interest rates unchanged in July of this year.
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