Supreme Court Signals Doubts Over Trump’s Bid to Remove Fed Governor Lisa Cook

Overview

• During a roughly two-hour hearing, conservative and liberal justices indicated they are unlikely to grant the administration’s emergency request to lift orders keeping Cook in her seat during the appeal.
• Attorney General D. John Sauer reiterated allegations that Cook improperly claimed two primary residences to secure favorable mortgages before joining the Fed, accusations she denies.
• Justices pressed the government on the lack of a formal opportunity for Cook to respond and on the potential market impact of weakening the Fed’s for‑cause removal protection.
• Fed Chair Jerome Powell and former Chair Ben Bernanke attended the session, signaling the central bank’s concern over threats to its autonomy.
• Cook remains on the Board under prior court rulings as the justices weigh a case that could define what counts as “for cause” removal, with a decision expected by midyear.