#TrumpFiresFedGovernorCook #BinanceHODLerDOLO

On August 26, 2025, President Trump announced via his platform "Truth Social" that he had dismissed Federal Reserve Governor Lisa Cook, accusing her of "misleading information and potential criminal behavior" related to what is suspected to be real estate fraud when submitting mortgage applications. Lisa Cook, who has held her position since May 2022, was the first Black woman to hold this office.

Cook quickly responded that she would not resign, asserting that the law does not give the president the authority to dismiss her from her position, and she would continue to perform her duties. Her attorney, Abbe Lowell, also announced that she would file a lawsuit challenging this decision for lack of any legal or factual basis.

This move was considered a serious threat to the independence of the Federal Reserve, an institution traditionally protected from direct political interference.

Markets widened their reaction, as the U.S. dollar fell and government bond yields rose. There was also an increased demand for gold as a hedge amid fears of undermining monetary stability.

In some assessments, experts believe these policies could undermine confidence in U.S. monetary policy, leading to higher inflation and volatility in the markets. Some went further, asserting that proceeding with the dismissal of a governor without sound legal foundation represents a first precedent since the establishment of the Federal Reserve.