Trump would 'eviscerate' Fed independence with Lisa Cook firing, lawyers tell Supreme Court

Federal Reserve Independence - The core argument revolves around maintaining the independence of the Federal Reserve Board from direct presidential control, which is deemed crucial for the stability and prosperity of American markets and the economy [2] - Lisa Cook's attorneys argue that the president's attempt to remove her from the Federal Reserve Board constitutes an emergency that would undermine the board's independence [1] - Former Fed chairs have also argued that Lisa Cook should remain on the Federal Reserve Board while the case is being adjudicated [4] Potential Market Impact - A stay from the Supreme Court, allowing the president to remove Lisa Cook, could signal a loss of traditional independence for the Federal Reserve, potentially leading to market chaos and disruption [3] - The financial markets are particularly focused on the application of this case, as the Federal Reserve's independence is seen as vital for market stability [3]