Trump administration has asked the U.S. Supreme Court now to let it fire Federal Reserve Governor Lisa Cook. If the court greenlights this, it would be another extraordinary move that could reshape the Fed's independence and, of course, expand the president's [00:00:15] power even more over the economy. Solicitor general Dean John Sauer filed the emergency request, arguing Trump had for cause to remove cook. Under the law governing the central bank, the administration points to allegations [00:00:30] of mortgage fraud charges cook denies and that remain under Justice Department investigation. With no indictments filed, the reporting shows documents, though, that appear to contradict the administration's claims. [00:00:46] And let's pause here, Michael. I want to get your prediction. What are the odds that Donald Trump's captured Supreme Court and his buddies on it hear the case? Well, I think the divided appeals court leads me to think that they will hear [00:01:02] the case because it was 2 to 1. It was two appointees from I don't know if they were Biden or Obama appointees, but they were appointed by a Democratic president and one appointee, who was a Trump appointee, who divided on the issue of whether or not [00:01:19] there was cause for this. I my tendency is that they are. And listening to what Sonia Sotomayor has said recently is they are tired of this emergency docket on the court. And all of these fall under emergency docket cases. [00:01:39] That said, it's a divided court. It's A63 court, and the the chief justice seems to be okay with it. That's some of the other justices, even in the majority who aren't. Whether or not they take the case. I'm terrible at predicting the court. [00:01:55] I'm not a lawyer. On its surface, it seems like this is the kind of thing that should wait until it has been litigated before it is ruled upon. And that's what the courts have said the lower courts have said, including this one. It was a majority and the Supreme Court. Generally, when these lower courts say these things, [00:02:12] if there has not been litigation, they turn it back to the lower court. But because the president has had such success doing this, they're taking it to the High Court. I'm going to say, just so we have something about which to be optimistic, that I don't think they're going to take the case. Okay. I hope you're right. [00:02:28] But and again but do you see what happens when you capitulate time and time again? The dog wants another treat. The child won't take a nap. You got a monster on your hands. Right. So he keeps doing this. You would think that with Donald Trump, you're going to get it either way. [00:02:44] If you don't do what he wants. But I would think it would be slightly less if you just on whatever ground say, this isn't our protocol, we're not going to hear this one. It's not, you know, in the best interest overall or something we're not going to do. That's not what these are. People that don't need to kowtow to the president. [00:03:00] Right? They have lifetime appointments. They are above reproach. They are insulated from any kind of inaction. As a matter of fact, that was a huge problem with Samuel Alito and his and the flag that was flown and some remarks his wife made to to a reporter is that there's [00:03:16] no oversight for the Supreme Court. The Congress, before it changed over, was going to take that up as an issue, right, that there should be some kind of, you know, course that that you have against the Supreme Court for misconduct. But these are the kinds of people that do not need to remain loyal to Donald Trump. [00:03:35] There's nothing there's no better job that they can have. And they have this one until they don't want it. And that's what's so curious about this fealty, that that even these justices, are experiencing. Yeah. It feels like everyone's spineless. What is it? [00:03:50] You can't take the wrath, you know, and I'm not saying you watch something like January 6th that they can't really have a go at you, but, yeah, it's somebody has to do something here. To quote an Atlanta housewife who gon check me. Boo. That's basically what Trump is saying every time he wants something. [00:04:09] - We'll tell you about. - I was just about to use that same quote. Sheree Whitfield I think, season seven noted. Yeah. Cook, one of seven members of the Fed Board, just voted in favor of lowering interest rates during a two day meeting earlier this week. [00:04:26] Trump has long, of course, pressed for deeper cuts. Cook argues her removal is a pretext to stack the board with loyalists who will bow to the White House's pressure. Federal appeals court temporarily blocked Trump's effort on Monday, [00:04:42] ruling he violated Cook's rights by failing to provide notice of the allegations or a chance to respond. You're dead on with this one, Michael. The judges, Bradley Garcia, J. Michelle Childs, both Biden appointees sided with cook. Trump appointed Judge Gregory Katsas dissented, saying he had no right. [00:05:01] She rather Lisa Cook had no right to due process. Supreme court could rule within days. If it agrees to hear the case. It will join two other high stakes disputes testing presidential authority. Trump's sweeping tariffs, his effort to freeze billions [00:05:16] in foreign aid approved by Congress. Federal reserve, the nation's most powerful economic policy maker. Now the latest independent agency Trump wants control of. And you know, I heard one analyst today say, Michael, that it's like the bully [00:05:35] who demands a dollar on the first day. And if you just give the bully the dollar the next day, it's going to be five. And it's just going to keep going up. And even within the Federal Reserve, why won't the chairman say anything? I really keep pointing to cowardice. [00:05:52] It feels like everyone's afraid because there's not, like, backup. People will always bend to Trump. Yeah. I mean, obviously that's true. I don't know, though, that it's the place of the chairman of the fed to to stand up for a member of the fed. [00:06:09] I don't know that it's not either, I just, I so I don't but I don't criticize the chairman for not speaking up here, because these people are all appointed and they all serve independently. [00:06:25] And I think that when you when you start protecting the group, it takes away a little bit of the kind of independence of each member of the board. And so I'm not going to put him in with the spineless others here. I'm going to I'm going to question how an appeals court judge can say that someone [00:06:46] doesn't have the right to due process, and that's their reason for voting against it. And if the Supreme Court is dealing with something to do with due process, and they're denying this woman her due process, then it seems to me, as a non-lawyer, that something there is broken. [00:07:03] She you don't surrender your right to due process. Just because you think that you're right and they think you're wrong. There is a process that happens. It's a litigation. And until that's resolved, there's no reason that you should suspend this person from or terminate this person from the board, [00:07:21] but I don't I don't see it the same way with, you know, should the head of the fed be responsible? I don't I think that there it's a different dynamic that exists there. Yeah, I hear you. I guess I just meant I wish he would stand up for the, ironically, independence of the fed. You know, whether I agree with my neighbor to the right or the left, [00:07:39] they have a right to be here, unless proven otherwise or something. But listen, all that's true. Everyone should get due process. Unless they're, I guess, the old school king, a dictator, authoritarian, right? - And so that's. - Or the new school president. [00:07:56] Right? Anointed by his friends. One travels in a gifted Winnebago, I believe. Or on a yacht, gifted private tours and things. It's just wonderful. Wonderful. But, hey, that's where we are. [00:08:13] Any final thoughts on where we go from here? Because he really is taking over, it seems, attempting to and being successful in more ways than one. These independent agencies. And do you think that them lowering the rates after you know, we're independent? [00:08:29] They they did what they felt was right. Most people would argue, but now they have cut the rates. Do you think it had anything to do with Trump and the constant badgering? I don't I mean, I think that this is a fiercely independent, [00:08:46] as you were saying, he should stand up and say that we are an independent branch, but I think that he does so by not lowering them when he doesn't lower them and by lowering them, you know, when he feels and their board votes for that, they feel that it's appropriate. [00:09:02] So I don't think that I think they're the ones that I know that that are the most independent, the most standing up to, you know, Powell's like, you know, fire me, right. Fire me if you want. But this is the job I was sworn to do, and I'm doing it. [00:09:17] And I think they're lowering rates and they're forecasting lowering them again, maybe even two more times before the end of the year. That's what the fed chair does, right? That's why there may be problems with the fed. And that's a totally different conversation, but that I don't think [00:09:32] that their independence is challenged. And I don't think this is a question of of of being back on their heels or afraid of the president. I think it's one area where we're not seeing that happen. I don't even know that the Supreme Court is doing it out of fear. I think that they're doing it because they're all strict conservatives. [00:09:49] Those six, and who who fall off of the conservative wagon once in a while. But I don't think it's about fealty to the man as much as it is to the notion of conservatism. Conservatism that does not seem to hold the ideals of that document. [00:10:05] - What's it called? - No, no. Yeah. Yeah, right. The Constitution. Constitution. Day on Tuesday or Wednesday was Constitution Day in this country. And look what happened to the Constitution. Maybe he's going to rename that too, right? Who knows? But we'll call it. Every time you ring the bell below. An angel gets his wings. [00:10:22] Totally not true. But it does keep you updated on our live shows.