Trump Seeks Control Over Federal Reserve Amid Powell's Rate Cut Signal

According to BlockBeats, U.S. President Donald Trump is seeking to exert greater influence over the Federal Reserve following a signal for potential rate cuts by Fed Chair Jerome Powell. On August 22, Powell indicated a shift towards a rate cut at the Jackson Hole symposium, increasing the likelihood of a September rate cut from 75% to approximately 90%. On the same day, Trump threatened to dismiss Federal Reserve Governor Cook, and on August 26, he officially removed Cook from his position, effective immediately. Cook responded hours later, stating there was no justification for his dismissal and that he would not resign. Despite this, a Federal Reserve spokesperson confirmed on August 27 that Cook remained a governor and could participate in meetings until a decision was reached. Cook filed a lawsuit against Trump on August 28, challenging his removal. By August 30, a judge had not yet ruled on the case, requesting further documentation from both parties. Trump's efforts to control the Federal Reserve include plans to secure a majority of seats on the board. On August 27, he suggested moving Milan, a temporary governor, to a longer-term position. Additionally, the Trump administration has intensified scrutiny over the selection process for regional Federal Reserve presidents, aiming to extend its influence. This week, the U.S. Senate Banking Committee is scheduled to hold a confirmation hearing for Milan, Trump's nominee for the Federal Reserve Board, on Thursday morning local time. Meanwhile, the Director of the Federal Housing Finance Agency, Pulte, is set to provide an update on the mortgage fraud case involving Governor Cook at 10 p.m. UTC+8 on Thursday.