President Donald Trump, speaking at the White House during a ceremony marking the 90th anniversary of the Social Security Act on August 14, 2025, intensified his pressure campaign on the US Federal Reserve by demanding the resignation of Governor Lisa Cook.
In a post on his Truth Social platform, Trump declared, “Cook must resign, now!!!” while citing a Bloomberg report that detailed concerns raised by Federal Housing Finance Agency (FHFA) Director Bill Pulte over Cook’s involvement in a pair of mortgages.
Pulte, a close Trump ally, reportedly sent a letter to the US attorney general urging an investigation into Cook, suggesting her actions may constitute a criminal offense. The development comes as Trump’s administration continues pursuing allegations of mortgage fraud among prominent Democrats considered political rivals.
While Trump has renewed calls for Cook’s removal, his authority to oust Federal Reserve officials remains limited. A recent Supreme Court ruling clarified that Fed members cannot be dismissed for policy disagreements but only “for cause” — meaning proven misconduct or wrongdoing.
Trump’s Fed Clash
Trump’s targeting of Cook follows his persistent attacks on Federal Reserve Chair Jerome Powell. Frustrated that the Fed has kept interest rates unchanged this year, Trump has repeatedly demanded aggressive cuts, arguing that high mortgage rates are crippling the housing market.
On Tuesday night, the president once again called for a “major rate cut,” insisting that inflation is no longer a concern and branding Powell “a disaster.”
Despite Trump’s assertions, inflation as measured by the US consumer price index remained at 2.7 percent in July — steady but still higher than earlier this year. Fed officials continue to weigh the risks of inflation against potential damage to the labor market while considering the timing of future rate cuts.
Cook’s Role and Background
Lisa Cook, the first Black woman to serve on the Fed’s board, was first appointed in May 2022. She was reappointed in September 2023 for a term lasting until 2038. Cook also previously worked on the Council of Economic Advisers under former President Barack Obama.
Powell, whose chairmanship has drawn repeated fire from Trump, will see his current term end in May 2026. Earlier this year, Trump briefly suggested Powell could be removed over what he described as an “overly costly” renovation of the Fed’s headquarters before later walking back the threat.
Related Developments
Trump says Ukrainian President Volodymyr Zelensky could end the war at any time, while ruling out Kyiv’s chances of reclaiming Crimea.
Oil prices held steady following easing concerns about Russian supply after Trump’s meeting with President Vladimir Putin.
Nigeria has been hit with a new 15% tariff under Trump’s trade measures, alongside several other nations.
