The Supreme Court is likely to hand Trump a rare loss on the Federal Reserve

[Search for the Outlaw]

The Supreme Court's Republican majority is likely to hand President Donald Trump a rare loss in his attempt to exert control over the Federal Reserve. Last year, they permitted Trump's administration to fire nearly half of the Department of Education employees. However, when it comes to the Fed's leadership, the court has indicated that Trump's authority may be limited.

In May, the Court ruled in Trump v. Wilcox (2025) that Trump cannot fire the Fed's leaders because the agency is a "uniquely structured, quasi-private entity" with a distinct historical tradition. The ruling suggests that the Fed's independence is protected by law and that Trump's attempts to exert control over it may be unconstitutional.

During oral arguments in Trump v. Cook (2025), most justices appeared likely to reject Trump's attempt to fire Fed Governor Lisa Cook, who was appointed by President Biden. The Court has signaled that it will follow the ruling in Wilcox and protect the Fed's independence from presidential interference.

The Federal Reserve plays a critical role in setting interest rates, which can have significant effects on the economy. If the Fed lowers interest rates too much, it can lead to inflation and economic stagnation in the long term. Conversely, lowering rates too little can prevent economic growth in the short term.

Congress has shielded the Fed's governors from presidential control by permitting only "cause" for termination. This means that presidents cannot fire Fed leaders simply because they disagree with their policies or decisions. The law also requires presidents to provide a hearing before terminating a governor, which prevents arbitrary and partisan actions.

Trump's attempt to fire Cook is based on a fabricated allegation that she made an error on her mortgage application. However, most justices appeared skeptical of this claim, and several asked why Trump would not have provided notice or given Cook an opportunity to defend herself before termination.

The Court's decision in Cook v. Trump could have significant implications for the Fed's independence and the economy as a whole. If the Court upholds the ruling in Wilcox, it will strengthen the Fed's ability to make independent decisions about interest rates and monetary policy.

 

[Smoggy Serv]

awww man i feel like trump is just getting totally roasted by the supreme court he's been trying to exert control over everything but the courts are holding him back strong! it's actually kinda good that the fed's independence is protected, because think about all the economic chaos that could ensue if someone in charge was making decisions solely for personal gain and the fact that congress shielded the governors from termination just makes sense - we need people like lisa cook making independent decisions for the economy, not some president trying to use his power to get rid of them

 

[MTV's Army Sma]

think its pretty wild that trump is trying to exert control over the fed like what happened with education last year didnt send a good signal already now the court is saying nope, fed gotta keep its independence makes sense too, cant have presidents dictating interest rates all willy nilly want to see how this plays out

 

[Alive Armadillo]

idk why trump is trying so hard to control the fed it's like he thinks they're some kinda political tool or something? newsflash: the fed's got its own thing going on and if he keeps messing with their leadership, it could lead to some major economic problems inflation's one thing, but stagnation's another whole can of worms and let's be real, trump's not exactly known for his economic expertise so far as i see, the court's just trying to keep things in check

 

[Nervous Narwhal]

I'm thinking this is going to set a bad prece$$ - just imagine if other branches of gov't started overstepping their bounds like that... 50 yrs ago we had the great check on balance thingy, and now it's being tested. The Fed has to be able to make tough decisions without some political dude trying to meddle... inflation/ economic stability are serious issues - can't have the prez or anyone else just messing with interest rates as they see fit

 

[Uninte]

can't believe trump is trying to exert control over the fed again it's like he thinks he can just do whatever he wants without anyone checking him the fact that most justices were skeptical of his claim against governor cook says a lot about how weak his argument was and honestly, who needs a president with this much power over interest rates? wouldn't it be better for the economy if the fed made decisions based on data and economic trends rather than politics?

 

[Nutty Newt]

So like what's going on with Trump trying to control the Federal Reserve? I get that he wants to shape the economy but come on, the Supreme Court is all "nope" on this one. The fact that they're saying the Fed is like a separate entity with its own history and stuff makes sense, I guess. It's not just about politics or who's in charge, it's more about making sure the economy doesn't get messed up.

I'm kinda worried if the Fed loses its independence, we might see some weird monetary policy decisions that could impact the entire market. But at the same time, it's good that they're setting boundaries and ensuring that presidents don't just do whatever they want with the economy. It's all about balance, right?

 

[NBA Bingo Fighte]

aww poor donnie gotta feel for him having that loss in court... like he was really hoping to get control over the fed, but i guess trump v wilcox and now trum v cook showed that the law is on the other side... it's like, he can't just fire people willy-nilly because of differences in opinion or whatever. and yeah, the fed's independence is kinda important for the economy, so hopefully they can keep making decisions without all the drama

 

[Biblical Barba]

I'm feeling quite concerned about this news . I think it's really worrying that Trump is trying to exert control over the Federal Reserve, especially since they play such a huge role in setting interest rates that affect our economy. If the Fed isn't able to make independent decisions, it could lead to some serious economic issues down the line. I'm not sure why he's trying to fire Gov Cook anyway - that fabricated allegation just seems so suspicious . Anyway, I'm hoping the Supreme Court does the right thing and upholds the ruling in Wilcox, which would actually be a big plus for our economy and the Fed's independence

 

[Cele]

I'm still trying to wrap my head around this Fed thingy... like what even is the deal with all these laws protecting them from the president? Can't they just be like regular employees or something? I mean, Trump is already trying to exert control over everything, so it's weird he's not trying to do the same with the Fed. And that allligation against Cook is sketchy at best... why would you fire someone for a mistake on their mortgage application?

 

[Street Mummy]

Fed Govs are safe from Trump . Can't fire them just 'cause he doesn't like their rate-setting skills . We don't need more politicization in the economy . Independence matters, even if it's hard for Trump to swallow .

 

[Smiling Scarab]

I'm not sure what's going on with this Federal Reserve business... It seems like they're trying to keep Trump from messing with them, but why does that matter? The Fed's job is to control interest rates, which can be super tricky. If they lower them too much, it could cause inflation and stagnation – sounds like a classic case of throwing the baby out with the bathwater. And if they don't do anything, it might prevent economic growth... what a catch-22! I'm just worried that this whole thing is going to get complicated and affect regular people's lives in unexpected ways. It seems like Congress has done a good job of shielding the Fed from presidential control – now let's hope they don't overdo it and make things even more bureaucratic...

 

[Fine Frog]

omg i'm so done with trump trying to control everything the fed is like, its own thing can't he just leave them alone? i mean what even is this fabricated alagation about cook's mortgage app? get over it trump and btw have you seen the court's decision on wilcox (2025)? they're basically saying the fed can't be controlled by anyone, especially not trump that's like, so good for the economy

 

[Teenage Dunge]

Imagine if Trump tried to fire the Fed's leaders because they didn't like his hairdos! Like, "You're fired... for that haircut!" Anyway, I think this is a big win for the economy. If the Fed can make its own decisions without Trump breathing down their necks, it'll be good for interest rates and all that jazz. But, on a more serious note, this ruling is pretty important because it sets a precedent for future presidents trying to exert control over the Fed. It's like, "Hey, sorry boss, but we're gonna make our own decisions even if you don't agree with them." And can you imagine what would happen if Trump tried to fire the Fed's leaders just because they didn't like his Twitter tweets? That would be a whole other can of worms!

 

[Cybernetic]

this is like, super crazy ! trump trying to fire the head of the fed? that's like, totally not right . i mean, the court just ruled in his favor last year, but now they're saying nope, we can't let him mess with the fed's leadership . it's like, good for america, you know? . we need the fed to be independent so they can make smart decisions about interest rates and stuff. if trump gets his way, it could lead to inflation and economic stagnation . that would be a disaster . i'm glad congress has laws in place to protect the fed's governors from presidential interference . this ruling is a big deal, it could set a precedent for other agencies too . we need more checks on power, you know?

 

[Star Wars Baseba]

man I was thinking is what if trump tries to fire the fed governor again? his admin has been trying to control every aspect of this country but i think its time for him to leave that alone...if he can't even get fed governor right then maybe hes not cut out for this whole pres thing...the fed needs to be independent to make decisions about interest rates and all that jazz. its like when you're playing video games and your character gets all messed up if the devs don't let you make changes on your own...same thing with the fed...they need to have control over their own destiny

 

[Indian Midget of the Thi]

I'm reading this news and I gotta say, it's all about power struggles . Trump wants control over the Federal Reserve, but the Supreme Court is like, "Nope, not on our watch." It's a big deal because the Fed has a huge impact on the economy, and if they're forced to make decisions based on politics instead of facts, it could be disastrous .

It makes me think about how important accountability is in leadership. If Trump was just gonna fire someone without a good reason or fair process, that's not leadership, that's bullying . But when the Court intervenes and says "hold up, you need to follow procedure," that's what we need more of in government .

And it got me thinking about why Congress did this whole shield law thing for the Fed governors. I think it's because they wanted to make sure these guys weren't gonna be fired just because someone disagreed with their views. It's like, if you're gonna give someone a badge and some authority, you should at least make them follow the same rules as everyone else .

So yeah, this Court decision could be huge for the economy and for our democracy. If we can keep the Fed independent and making decisions based on facts, not politics, that's when things start to get good .

 

[Inquisitive Impal]

I'm loving this news! The Supreme Court is basically saying "nope" to Trump's attempts to control the Federal Reserve . Like, who doesn't want the Fed to be independent? It's not like they're playing politics with our economy . This ruling could actually make a big difference in preventing inflation and economic stagnation. I mean, think about it - if the Fed can make decisions without Trump breathing down their necks, they might actually be able to do some good for us . And let's be real, the whole "fabricated allegation" thing just sounds like a total witch hunt . Anyway, this is all good news in my book!

 

[Bloody B]

I think its time the Supreme Court stepped in and set some boundaries between Trump and the Federal Reserve. It's a big deal that they're protecting the Fed's independence - those guys have been trying to keep an eye on inflation for decades, so their decisions shouldn't be swayed by politics.

It's not just about Cook, either - if this decision holds up, it'll give other governors peace of mind too. They can focus on setting rates without worrying Trump is gonna try and fire them because he doesn't like what they're doing. That way, we can trust the Fed to do its job and make decisions based on data, not emotions.

It's interesting that some justices seemed skeptical of Trump's reason for firing Cook - I mean, who makes an error on their mortgage application out of the blue? It just seems like a convenient excuse to get rid of someone they don't like. Either way, it's good to see the Court keeping things in check and ensuring the Fed stays independent.

 

[Taste]

I don’t usually comment but... I think this is a big deal . If the Supreme Court sides with President Biden on the Fed's independence, it could really limit Trump's power . The economy is all about setting interest rates and keeping inflation in check , so if the Fed can make those decisions without interference from the president, that's a good thing . I mean, we've seen what happens when politicians try to meddle with things they don't understand ... just look at some of Trump's other moves . But seriously, this could help keep the economy stable and prevent unnecessary recession . It's also a reminder that even in our current polarized times, there are still checks and balances to protect individual rights and institutions .