"In an unprecedented assault on the central bank, the president has called the Fed chair, Jerome Powell, stupid and threatened to fire him for not cutting interest rates as quickly as Trump would like. Most recently, the justice department instigated a criminal investigation against Powell for testimony he gave about renovations at the Fed's headquarters. Even so, the Fed has not budged. Tactically, Trump's assault on the Fed appears to be no different than his overhaul of the entire federal government."
"The president has learned if he pushes hard enough, he can get his way. And he has mostly been successful. But with the Fed, it seems that Trump may have met his match. At least as far as the supreme court is concerned. On Wednesday, the court's justices, in oral arguments, appeared resoundingly skeptical of Trump's firing of the Fed governor Lisa Cook. But while the justices' skepticism could be interpreted as a sign that the court is checking executive authority,"
Donald Trump used bullying, threats, and even a Justice Department-instigated criminal inquiry to pressure the Federal Reserve to cut interest rates. The Fed, including Chair Jerome Powell, did not comply with those demands. The president fired Fed governor Lisa Cook in August, alleging mortgage fraud for listing multiple properties as her primary home. The Supreme Court's justices appeared resoundingly skeptical of that firing during oral arguments. Legal experts warned that a narrow ruling could carve out a special exception for the Fed while leaving other independent agencies vulnerable, a consequence described as potentially very harmful by Michael Dorf.
Read at www.theguardian.com
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