Unprecedented

Currently, the Federal Reserve has declined to comment to the public on Trump's dismissal of Governor Cook.

It is worth mentioning that, looking back at history, since the establishment of the Federal Reserve in 1913, there has never been a precedent of a Federal Reserve governor being removed by the president. If Trump successfully dismisses Cook, it would set a first in the history of the U.S. government and the Federal Reserve...

From a procedural perspective, Trump's move to dismiss Cook will inevitably face legal challenges and skepticism.

Although the U.S. president does have the power to dismiss Federal Reserve governors, the U.S. Congress has imposed significant restrictions on this power in the Federal Reserve Act of 1913—requiring the president to have conclusive evidence of misconduct by the governor, such as negligence, dereliction of duty, or inability to perform duties, rather than basing the dismissal on political motives.

However, at present, the allegations Trump has made against Cook have not been confirmed by a court, and the Department of Justice has only stated that it will investigate the related accusations.

Meanwhile, the reason for Trump's dismissal of Cook actually has little to do with Cook's ability to perform her duties. The mortgage controversy she is involved in occurred before she became a Federal Reserve governor. Many industry insiders have therefore stated that Trump's move could trigger a legal conflict, which may ultimately be brought before the Supreme Court.