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Trump fires Fed Governor Lisa Cook, cites mortgage fraud claim

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Lisa Cook, member of the Board of Governors of the US Federal Reserve, attends a Federal Reserve Board open meeting discussing proposed revisions to the board’s supplementary leverage ratio standards at the Federal Reserve Board building in Washington, DC, on June 25, 2025.

Saul Loeb | AFP | Getty Images

President Donald Trump on Monday fired Federal Reserve Governor Lisa Cook, according to a letter on his Truth Social, an unprecedented move and a significant escalation of his attacks on the independence of the U.S. central bank.

“Pursuant to my authority under Article II of the Constitution of the United States and the Federal Reserve Act of 1913, as amended, you are hereby removed from your position on the Board of Governors of the Federal Reserve, effective immediately,” Trump wrote.

CNBC reached out to the Federal Reserve for comment.

Trump’s move pushes the Federal Reserve into unchartered territory and will likely lead to a legal clash that could wind up at the Supreme Court.

The Trump administration claims that Cook, who was nominated by former President Joe Biden in 2022, committed mortgage fraud by allegedly naming two different properties as her primary residence at the same time.

Federal Housing Finance Agency Director Bill Pulte, an outspoken critic of Fed Chairman Jerome Powell, publicly accused Cook of mortgage fraud on Aug. 20 and sent a criminal referral to the Justice Department.

Trump cites the criminal referral in his letter and said that “there is sufficient reason to believe you have made false statements on one or more mortgage agreements.”

“For example, as detailed in the Criminal Referral, you signed one document attesting that a property in Michigan would be your primary residence for the next year,” Trump wrote.

“Two weeks later, you signed another document for a property in Georgia stating that it would be your primary residence for the next year,” he continued.

Trump claimed that it is “inconceivable” that Cook was “not aware of [her] first commitment when making the second.”

After Pulte’s claims started to circulate last week, Trump quickly called for Cook’s resignation, writing in a social media post that “Cook must resign, now!!!”

Cook said in a statement the same day that she has “no intention of being bullied to step down from my position because of some questions raised in a tweet.”

Two days later, Trump said he would fire Cook if she did not resign.

“What she did was bad,” Trump told reporters on Aug. 22.

Pulte applauded Trump’s move and thanked his “commitment to stopping mortgage fraud and following the law” in a post on X.

Trump’s firing will likely trigger a legal showdown. The Supreme Court could get involved if a judge allows Cook to continue serving in her role while legal proceedings play out.

Congress curbed the president’s authority to unilaterally fire a Fed governor in the Federal Reserve Act of 1913, which states that president can only do so “for cause.” While the law does not elaborate on what constitutes “cause,” it has historically been understood to mean malfeasance or dereliction of duty.

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If Trump is ultimately successful in removing Cook, he will be able to nominate her replacement and reshape the Fed’s governing board for the next several years. Fed governors typically serve 14-year terms. Cook is the first Black woman to serve as a governor of the Federal Reserve.

Two of the seven current Fed governors, Christopher Waller and Michelle Bowman, are Trump appointees. Trump nominated Powell to be the Chair of the Federal Reserve in 2017.

Another spot opened up earlier this year when Adriana Kugler abruptly stepped down, giving Trump another seat to fill. He has nominated Stephen Miran, chair of the Council of Economic Advisors, to fill the vacant seat.

The move exacerbates concerns surrounding the Federal Reserve’s independence under the Trump administration.

Trump has repeatedly criticized the central bank and its chair for not cutting short-term interest rates.

Powell has so far resisted Trump’s pressure, even as the president has threatened to fire him before his term as chair expires next year.

Speaking on Aug. 22 at the central bank’s annual symposium in Jackson Hole, Wyoming, however, Powell suggested that conditions “may warrant” interest rate cuts as the Fed proceeds “carefully.”

The ICE U.S. Dollar index, which measures the greenback against a basket of major currencies, shed 0.3% in a rapid move overnight just after Trump’s Cook post.

The 2-year Treasury yield, a rate sensitive to Fed moves, ticked lower by 4 basis points on the move. One basis point equals 0.01%.

Stock futures were lower in overnight trading before Trump’s announcement and continued a slight mover lower. Gold futures were the biggest mover besides the dollar, gaining 0.3%.

This is developing news. Please check back for updates.



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Kamala Harris to remain under protection after Trump revokes Secret Service detail

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Former Vice President Kamala Harris will receive protection from the California Highway Patrol, after her Secret Service detail was revoked by President Donald Trump.

Law enforcement sources told the LA Times that officials in The Golden State have stepped up to offer their services to Harris when her extended Secret Service protection comes to an end.

Trump signed an order on Thursday which retracted the protection Harris was offered from Monday onwards.

The offer came after discussions between the offices of California Governor Gavin Newsom and Los Angeles Mayor Karen Bass about how to best handle the situation, the outlet reported.

Vice Presidents are usually entitled to six months of protection after leaving office, while presidents are afforded protection for the rest of their lives.

But one of Biden’s final actions was to extend her protection through to July 2026. The move came after a request from Harris’ aides.

Typically when the six-month protection expires, former vice presidents – including Mike Pence and Joe Biden – have paid for their own private security. 

Other than Harris, the only other former vice president to receive protection beyond the six-months was Dick Cheney after requesting approval from then-President Barack Obama in 2009. 

Former Vice President Kamala Harris will receive protection from Highway Patrol in California after her Secret Service detail was revoked by President Donald Trump

Trump signed an order on Thursday which retracted the protection Harris was offered from Monday onwards

Governor Gavin Newsom’s office told the publication: ‘Our office does not comment on security arrangements.

‘The safety of our public officials should never be subject to erratic, vindictive political impulses.’ 

Newsom would be required to sign off on any such arrangement with Highway Patrol. 

Harris will not only lose 24/7 in-person Secret Service protection from federal agents, but she will also no longer have threat detection intelligence. 

Mayor Karen Bass slammed Trump’s decision, stating: ‘This is another act of revenge following a long list of political retaliation in the form of firings, the revoking of security clearances and more. 

‘This puts the former Vice President in danger and I look forward to working with the governor to make sure Vice President Harris is safe in Los Angeles.’

Other than Harris, the only other former vice president to receive protection beyond the six-months was Dick Cheney after requesting approval from then-President Barack Obama in 2009. 

One of Biden's final actions was to extend her protection through to July 2026. The move came after a request from Harris' aides

One of Biden’s final actions was to extend her protection through to July 2026. The move came after a request from Harris’ aides

Trump canceled a previously undisclosed directive from President Joe Biden that granted Harris Secret Service protection for an additional year

Trump canceled a previously undisclosed directive from President Joe Biden that granted Harris Secret Service protection for an additional year

Trump’s sudden removal of his 2024 rival’s protection will have immediate ramifications as Harris prepares to launch a nationwide book tour next month for her upcoming memoir ‘107 days.’ 

The book reportedly focuses on her failed short-lived 107 day presidential campaign following Biden’s departure from the race. 

Harris’ tours stops will mostly take place in deep-blue cities, and will start off on September 24th in New York City, the day after her book is released. 

Former presidents and White House officials often face security threats from around the world. 

Trump famously survived two assassination attempts during the 2024 presidential election. 

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Israel identifies body of hostage retrieved from Gaza

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Israel identified the body of hostage Idan Shtivi, recovered from the Gaza Strip in a military operation this week that retrieved the remains of two hostages, Prime Minister Benjamin Netanyahu’s office said on Saturday.

Netanyahu’s office had announced on Friday the retrieval of Ilan Weiss’s body along with the remains of another hostage, whose identity is now known to be that of Shtivi but had not been disclosed at the time.

With Weiss and Shtivi‘s bodies recovered, Israel says 48 hostages remain in Gaza, of whom only 20 are believed to be alive.

“Idan Shtivi was abducted from the Tel Gama area and brutally murdered by Hamas terrorists after acting to rescue and evacuate others from the Nova music festival on October 7, 2023. He was 28 years old at the time of his death,” the Israeli military said on Saturday in a statement.

Around 1,200 people were killed and about 251 taken hostage when the Palestinian militant group Hamas attacked Israeli southern communities in October 2023, Israel’s tallies show.

Gaza’s health ministry says Israel’s subsequent military assault has killed over 63,000 Palestinians. The war has displaced nearly the enclave’s entire population, devastated infrastructure, and triggered a humanitarian crisis.



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Your lookahead horoscope: August 31, 2025

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HOROSCOPES

Open this photo in gallery:

Virgo.iStockPhoto / Getty Images

IF TODAY IS YOUR BIRTHDAY

The message of your birthday chart is that you must know your own mind and follow what it tells you to the letter. Ignore those who complain about your aims, because there is nothing they can do to hinder you – and they certainly won’t help!

Aries (March 21 – April 20):

Someone who is important to you on both a personal and a professional level will be difficult to get through to over the next few days. It’s no big deal though, so don’t panic. They will be back on the same wavelength before the end of week.

Taurus (April 21 – May 21):

Although your financial situation may not be as bad as you fear you have been a bit too free and easy with your cash in recent weeks. Cut back on your spending over the next few days – make it essentials only from now on.

Gemini (May 22 – June 21):

You may be of a mind to give up on a project that doesn’t seem to be going anywhere but don’t be hasty. While Saturn is going through its retrograde phase it may seem as if you are making no progress but that will change very soon.

Cancer (June 22 – July 23):

News you hear from afar will put a spring in your step over the next 24 hours but don’t get carried away. Take extra care when making plans to visit friends and relatives as there are sure to be delays and diversions along the way.

Leo (July 24 – Aug. 23):

The fact that no one seems to believe in what you are doing is neither here nor there. The only thing that matters is that you believe in yourself, so keep going and don’t let other people’s negativity affect you – in fact, let it energize you!

Virgo (Aug. 24 – Sept. 23):

The more time you spend trying to understand the motivations of a friend or family member the further away from the truth your efforts will take you, so give it a miss and just accept them for who and what they are, whatever that is!

Libra (Sept. 24 – Oct. 23):

The positive signals you have been getting from people you work with is nice but can you believe they really want to see you succeed? While Saturn continues its retrograde phase it might be safer to act as if you don’t really trust them.

Scorpio (Oct. 24 – Nov. 22):

You may be feeling more optimistic about an artistic or creative project of some kind but you can also expect some delays in getting it finished. Be patient and handle setbacks as and when they arrive. You will get there in the end.

Sagittarius (Nov. 23 – Dec. 21):

What a friend tells you today may not be what you were expecting or hoping to hear but don’t ignore it. They may have seen something that you missed, and that something could trip you up if you are too proud to take advice.

Capricorn (Dec. 22 – Jan. 20):

Your ruler Saturn moves back into the social and travel area of your chart this week, which suggests you may have to change some of the arrangements you made in recent weeks. It’s no big deal, so accept the inevitable and get it done.

Aquarius (Jan. 21 – Feb. 19):

Something of a financial nature needs to be treated with a great deal of care. You may think it’s no big deal but the planets warn you could end up out of pocket if you act as if other people are as honest as you – because they’re not!

Pisces (Feb. 20 – Mar. 20):

As Saturn moves back into your sign this week it may feel as if problems you thought you had dealt with never actually went away. The good news is there will be just one small thing that you need to change. It’s really no big deal.

Discover more about yourself at sallybrompton.com



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