What is the significance of Trump's effort to remove the Fed's Lisa Cook?

Core Points - President Trump's attempt to remove Fed Governor Lisa Cook marks a significant event in the Federal Reserve's history, as it is the first time a president has sought to remove a Fed governor in its 112-year existence [2] - The outcome of Cook's lawsuit against her firing will be heard by the Supreme Court in January, following lower courts siding with her [2][3] - The Federal Open Market Committee (FOMC), which includes all seven Fed governors, is responsible for setting interest rate policy to achieve maximum employment and price stability [6][7] Group 1 - Trump's effort to reshape the Federal Reserve's Board of Governors is part of a broader strategy to influence interest rate decisions [1] - Cook's term is set to last until 2038, and her removal would allow Trump to nominate a new governor for a long-term position [12] - Currently, four of the seven Fed governors were appointed by Republicans, indicating a partisan composition within the board [10] Group 2 - The Fed's Board of Governors serves staggered 14-year terms to insulate monetary policy from political pressures [8] - Fed Chair Jerome Powell's term as chairman expires in May 2026, but he may continue as a board member until January 2028 [14] - The potential reappointment of Stephen Miran, who currently fills a seat until January 2026, remains uncertain [11]