Trump says he will have a majority at the Fed which will help him push the rates lower

Although he is still not sure that the president Donald TrumpThe dismissal of the governor of the federal reserve, Lisa Cook, who is preparing a legal challenge, will succeed, his potential departure gives him another chance to install a candidate more to listen to his monetary priorities.

THE Federal reserve The Council of Governors, commonly known as the Fed Board of Directors, is made up of seven members, or governors, who are appointed by the president and confirmed by the Senate.

Trump says he is “ always ” for a legal struggle, because the governor of Fed provides for a lawsuit

If Trump replaces Cook, he would have appointed the majority of Fed governors, strengthening his influence on the panel that guides American monetary policy.

Lisa Cook attends a meeting at the Federal Reserve Building in Washington, DC, June 25, 2025. (Saul Loeb / AFP / Getty Images)

Former president Joe Biden Appointed Philip Jefferson, Michael Barr and Cook on the Fed Board of Directors in 2022. Trump’s choices include Michelle Bowman in 2018, Christopher Waller in 2020 and Stephen Miran in 2025.

Former President Barack Obama has appointed Jerome Powell In the Fed Board of Directors in 2012, Trump appointed Powell to his current role as president of the Federal Reserve in 2017, and Biden renamed it in 2022.

Trump appoints the replacement of the nourished seat; Always looking for a permanent man

Asked about the replacement of Cook, Trump told journalists on the White House on Tuesday that he had “very good people for this position”.

“We will have a majority very soon,” said Trump. “So it will be great.”

Tensions between Trump and the Federal Reserve on Monetary Policy have intensified in recent months. Trump has paid Powell squarely so as not to have lowered the target rate of federal funds, which he said could save the nation “from hundreds of billions of dollars”.

President Donald Trump speaks to the president of the Fed, Jerome Powell, during a visit to the Federal Reserve in Washington, DC, Thursday July 24, 2025. (Official photo of the White House by Daniel Torok)

Meanwhile, Powell has retained the central bank loan rate target in a range of 4.25% to 4.5%, maintaining a measured and expected approach while civil servants assess the economic effects of Trump prices.

A look at the battle of course between Trump and Powell on the Fed policy

The ascent of Cook marked a historic first, when she became the first black woman to serve as governor on the board of directors of the Fed. Now, its potential withdrawal from this same role could mark another history first.

In the current state of things, Trump says that Cook is dismissed, in force immediately. But Cook and his lawyer, Abbe Lowell, argue that Trump has no legal authority to remove it. His mandate on the Fed board of directors takes place until January 2038.

The president of the Federal Reserve, Jerome Powell, swears in Lisa Cook as a member of the Governors’ Council of the Federal Reserve system in May 2022. (Photo of the American Federal Reserve)

The federal reserve recognized a potential cook legal action and said in a Tuesday press release that the American central bank “would respect any court decision”.

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“Lisa Cook indicated through her personal lawyer that she would quickly dispute this legal action and request a judicial decision which would confirm her ability to continue to assume his responsibilities as a member confirmed by the Senate of the Council of Governors of the Federal Reserve System,” wrote a spokesperson for the Federal Reserve in a declaration to Fox News Digital.