watch now3:2903:29President Trump says he will fire Fed Governor Lisa Cook if she doesn't resignSquawk on the StreetPresident Donald Trump said Friday he will fire Federal Reserve Governor Lisa Cook if she does not resign from her position."What she did was bad," the president told reporters who asked Cook, an appointee of former President Joe Biden who has come under fire from the Trump administration over allegations her mortgages."So I'll fire her if she doesn't resign," he said during a surprise visit to The People's House, a museum of the White House.If Trump were to successfully remove Cook "for cause," he would get the chance to reshape the central bank's governing board, potentially for years to come.U.S.
President Donald Trump visits The People’s House: A White House Experience museum, in Washington D.C., U.S., August 22, 2025.
Jonathan Ernst | ReutersTwo of the seven current governors, Christopher Waller and Michelle Bowman, are Trump appointees.
Both dissented from the Fed's most recent decision to hold interest rates steady.Another seat opened up earlier this summer, when Adriana Kugler announced she would step down.If Trump is able to remove Cook, he would appoint her successor — potentially ensuring that a majority of the board s his view on monetary policy.
Board members serve 14-year terms.Federal Housing Finance Agency Director Bill Pulte this week publicly accused Cook of mortgage fraud related to claims that she took two different perties as her primary residence at the same time.He sent a criminal referral to the Department of Justice, which revealed Thursday that it will investigate Cook.Pulte, a vocal critic of Fed Chairman Jerome Powell who has aggressively backed Trump's calls for the central bank to lower interest rates, has continuously attacked Cook on social media since revealing his allegations.Trump previously called for Cook to resign immediately in light of the allegations.
Ed Martin, a Justice Department lawyer who is widely seen as a loyalist to the president, urged Powell to mptly remove Cook — even though the central bank chief cannot do so under the law.Sen.
Elizabeth Warren, the top Democrat on the Senate Banking Committee, wrote in an X post Friday that Trump is targeting Cook because he is "trying to find a scapegoat for his failure to lower costs for Americans."Cook has consistently voted in line with Powell.
She sided with the majority to keep rates unchanged ing the Federal Open Market Committee's most recent meeting last month.Read more CNBC coverageTrump demands Fed’s Cook resign after housing official calls for ‘mortgage fraud’ beTrump has snapped up more than $100 million in bonds since taking officeTrump targets 'woke' museums with Columbia, Harvard playbookTrump expands 50% steel and aluminum tariffs to include 407 additional duct typesChinese national gets 8 years for smuggling weapons, to North Korea'Security guarantees' for Ukraine mean Europe must now fulfill its miseTrump-Zelenskyy meeting paves the way for Ukraine security guarantees, talks with PutinTraders hope the Ukraine war ends soon.
Experts say there's no 'quick fix'Trump tells Zelenskyy to end war, echoing Kremlin demands on Crimea and NATOWhite House envoy claims Russia agreed to 'Article 5-' security guarantees for UkraineZelenskyy to meet with Trump after Putin talks end without a ceasefireCook said Wednesday that she has "no intention of being bullied to step down from my position because of some questions raised in a tweet.""I learned from the media that FHFA Director William Pulte posted on social media that he was making a criminal referral based on a mortgage application from four years ago, before I joined the Federal Reserve," Cook said in a statement."I do intend to take any questions my financial history seriously as a member of the Federal Reserve and so I am gathering the accurate information to answer any legitimate questions and vide the facts," she said.Trump's s Friday morning came as Powell signaled that economic conditions "may warrant" interest rate cuts.While the economy and labor market remain resilient, downside risks are rising and growth is declining — and Trump's tariffs are once again raising inflation concerns, Powell said at the Fed's annual conference in Jackson Hole, Wyoming.Don’t miss these insights from CNBC Morgan Stanley says nu power is gaining momentum, recommends these stocksWells Fargo hikes S&P 500 target as U.S.
tariffs get delayed againMorgan Stanley maintains bullish stance on Nvidia heading into earnings, raises price targetWhy UBS just raised its gold forecast again as the precious metal hovers near record highwatch now20:4920:49Watch Fed Chair Jerome Powell's full policy speech at Jackson HoleSquawk on the Street