Trump allies double down on efforts to reshape Federal Reserve

President Donald Trump and his allies are renewing a push to reshape the Federal Reserve after the Supreme Court this week blocked an effort to fire Governor Lisa Cook.

Top officials and outside allies are actively exploring ways to remove members of the Fed’s Board of Governors in Washington to clear the way for more of the president’s own picks, according to people familiar with the matter. Cook remains a target after the high court allowed her to stay in her job for now, as does former Chair Jerome Powell, said the people, who spoke on the condition of anonymity.

Although the Supreme Court’s ruling reinforced the Fed’s independence from the executive branch, some Fed watchers noted the narrowness of the decision and cautioned it doesn’t completely shield the central bank from future political attacks. Undeterred, Trump allies see the decision as providing a procedural roadmap for how to successfully push Cook out, and are redoubling their efforts to do so, according to people familiar with the matter.

Trump told CNBC on Thursday that the court’s ruling was based on procedure, not merit, and his administration would begin a process to remove her from the central bank.

“We’ll start the process and we’ll do perfect process and perfect procedure,” he said.

The administration also sees a vacancy atop the Atlanta Fed as another opportunity to exert influence over the central bank, with Treasury Secretary Scott Bessent tapping his network for potential candidates, the people said. The Atlanta Fed presidency is seen as a key role by Trump’s economic policy team because of the closely watched analysis it conducts on economic growth and other topics, they said.  

The Atlanta Fed president will also vote on interest rates in 2027. 

Trump ratcheted up scrutiny of the Fed after returning to office last year, frequently berating Powell for not lowering interest rates quickly enough. Trump publicly mused about firing the former chair and made clear that he would choose a successor more aligned with his economic thinking. His eventual pick,........

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