President Donald Trump appealed a September 9 district court order that blocked the removal of Federal Reserve Governor Lisa Cook, moving days before the September 17 FOMC meeting.
The administration seeks to lift Judge Jia Cobb’s injunction and proceed with the Lisa Cook removal.
It argues the law allows removal “for cause” and asks the appeals court to act before the policy vote.
Trump Appeal on Lisa Cook Removal Tests Fed Independence
The Justice Department filed the Trump appeal to pause the injunction and clear the way for the Lisa Cook removal.
The filing targets Judge Jia Cobb’s ruling that kept Lisa Cook on the Board. The White House wants a decision before the FOMC meeting this week. Reuters+1
The district court found the administration had not shown adequate for cause grounds.
Judge Cobb said the allegations concern conduct before Cook took office and likely do not meet the statute.
The district court injunction therefore remains in effect while the case proceeds. The Washington Post+1
On appeal, government lawyers describe for cause as a “capacious” standard vested in the president’s discretion and not subject to judicial review.
That stance frames the core dispute over the line between presidential power and Fed independence.
Mortgage Documents Undercut Fraud Claim in Lisa Cook Removal
New mortgage documents support Lisa Cook’s position. A May 2021 loan estimate lists her Atlanta condo as a “vacation home.”
A December 2021 federal form identified it as a second home. County tax records show no primary residence exemption.
These records contradict the claim that she misrepresented a primary residence. They align with Cook’s public explanation and weaken the stated basis for the Lisa Cook removal.
Reporters reviewed the paperwork and matched disclosures across filings.
The administration moved to fire Lisa Cook on August 25. The district court injunction issued on September 9 restored her to the Board, pending appeal.
The Trump appeal asks the D.C. Circuit to allow removal before the FOMC meeting.
Rate Cut Odds: CME FedWatch Signals Before FOMC Meeting
Futures markets show high odds of a rate cut at the September 17 FOMC meeting. CME FedWatch indicates a dominant probability of a 25 basis point move to the 4.00%–4.25% range, with smaller odds on 50 basis points. Reporters cite probabilities above 85% into mid-September.
Economist Joe Brusuelas summarized the setup in simple terms.
“Yes, you’re going to get your rate cut out there in trading land,”
he told Yahoo Finance. He warned against assuming several moves by year-end. The quote captures market expectations without committing to a path.
Interest rates have stayed high since early 2022. A cut this week would be the first since December 2024.
The rate cut probability remains the central focus as the Trump appeal unfolds around Fed independence.
Fed Leadership Watch: Rick Rieder Enters Frame as FOMC Meeting Nears
Attention also turned to succession planning at the central bank. Rick Rieder of BlackRock is rising on the shortlist to succeed Jerome Powell, whose term ends in May. Bloomberg reported the move, citing an administration official.
This Fed leadership discussion runs parallel to the Trump appeal over the Lisa Cook removal.
Personnel signals matter as investors track the rate cut decision and Fed independence dynamics. The reporting places Rick Rieder among top contenders.
As the FOMC meeting approaches, the legal fight continues on a fast timeline. The appeals court could rule on the district court injunction soon.
The outcome will define how for cause applies to a seated Fed governor.
Editor at Kriptoworld
Tatevik Avetisyan is an editor at Kriptoworld who covers emerging crypto trends, blockchain innovation, and altcoin developments. She is passionate about breaking down complex stories for a global audience and making digital finance more accessible.
📅 Published: August 4, 2025 • 🔄 Last updated: August 4, 2025
