The Federal Reserve Act says the President can fire a Fed Governor "for cause." No President has attempted to fire a Fed Governor "for cause," so no one knows what this means. Trump is attempting to fire Fed Governor Lisa Cook for cause, claiming she committed fraud in improperly filling out a mortgage application. Cook is defending herself, and the Supreme Court heard oral arguments about the case on January 21. A ruling is expected in the next few weeks (the Supreme Court term ends at the end of June, and we are awaiting several rulings before then). --- Specifically, the court will have to define what constitutes a "cause" to fire a Fed Governor. Cook argues that a mortgage application BEFORE she was a Governor falls outside a "cause." She argues that "for cause" applies only to actions taken WHILE IN OFFICE. Who is watching this case very closely is Powell. Depending on how the Court defines "cause," Trump COULD IMMEDIATELY fire Powell as a Governor "for cause" surrounding the renovation of the Fed buildings.(Jim Bianco)