Source: Fortune
Summary
President Trump and his allies are renewing efforts to reshape the Federal Reserve after the Supreme Court blocked an attempt to fire Governor Lisa Cook. Top officials and outside allies are exploring ways to remove members of the Fed’s Board of Governors to clear the way for Trump’s own picks. Trump remains angry at former Chair Jerome Powell for staying on the Fed’s board after his tenure expired. The administration is also turning attention to the 12 regional Fed banks, including the vacancy in Atlanta, as an opportunity to install a pick ideologically aligned with the president.
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The numbers tell one story. Trump’s push to reshape the Fed is intensifying, with top officials exploring ways to remove members of the Board of Governors. Powell’s decision to stay on the board has Trump “angry”. The Atlanta Fed vacancy is seen as an opportunity to install a pick aligned with Trump. The Treasury Secretary is tapping his network for potential candidates. The Atlanta Fed president will vote on interest rates in 2027. Trump’s allies see the decision as providing a procedural roadmap for how to successfully push Cook out. The administration is undeterred by the Supreme Court’s ruling, which reinforced the Fed’s independence from the executive branch.
The administration is playing a long game, using the Supreme Court’s decision as a guide to push out Fed members. The Atlanta Fed vacancy is a key opportunity to exert influence over the central bank.
Author: Evan Null
