The US Supreme Court ruled that Federal Reserve Governor Lisa Cook can stay in her job for now, reinforcing the central bank’s independence from the White House and dealing a setback to President Donald Trump. In a separate ruling, the court expanded the president’s power to fire top government officials at other federal agencies. Voting 5-4, the high court said Cook can remain at the Fed while she fights Trump’s bid to oust her over unproven mortgage fraud allegations. Chief Justice John Roberts and Justice Brett Kavanaugh joined the three liberals in the majority. Bloomberg&#x27;s Paul Sweeney and Scarlet Fu got reaction from: June Grasso, Bloomberg Law Host Elliot Stein, Bloomberg Intelligence litigation analyst Tyler Kendall, Bloomberg Washington correspondent Gautam Mukunda, Lecturer at Yale School of Management and Bloomberg Opinion contributor See omnystudio.com/listener for privacy information.

Instant Reaction: Supreme Court Blocks Trump from Firing Fed's Lisa Cook

Balance of Power

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**Podcast:** Balance of Power

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Bloomberg. Instant reaction and analysis from our 3,000 journalists and analysts around the world. Paul, we have some breaking news. The Supreme Court, of course, publishing its opinions today. It has expanded the president's power to fire top officials. It refuses to let the president immediately oust Lisa Cook, however, and Lisa Cook is now currently allowed to stay in the job for now.

All right, let's bring in June Grasso, Bloomberg's legal analyst here. She joins us here in studio. Let's start with the Lisa Cook decision here. June, can you summarize what's going on here? Yeah. So, Lisa Cook, as you know, Federal Reserve Governor, and Donald Trump tried to fire her on the basis of allegations of mortgage fraud. So there was no any kind of procedure at

all before he said that. So during the oral arguments, it was pretty clear that the Supreme Court justices were going to vote with Lisa Cook and not allow Trump to do that because of the status of the Federal Reserve. And during the oral arguments, there were a lot of questions by the conservatives as well about, you know, why was there no process here? She had absolutely no process. What would it take for you to have some kind of hearing, at least before this happened? So

there was concern on their part. And Justice Brett Kavanaugh had said prior to that, that the Fed is different. So that was expected. Now, as far as the slaughter case where she's on the FTC, they say that that's different and because it's not the Fed. But what this does is this really expands presidential power. It means that the president has the authority to fire people at the top of what,

like 20 agencies or so. And what they've done here is they've done away with Humphrey's executor, which was a decision which is standing for about 70, 80 years, I think, about the ability of presidents to fire people, which was that there was no ability for them to fire people at the head of agencies. And they've been cutting back ...

Instant Reaction: Supreme Court Blocks Trump from Firing Fed's Lisa Cook

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Instant Reaction: Supreme Court Blocks Trump from Firing Fed's Lisa Cook

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.