BREAKING NEWS: Karoline Leavitt Backs President’s Move Against Fed Governor Lisa Cook, Sparks Political Firestorm
In a surprising and politically charged development, Karoline Leavitt, a rising conservative figure and former congressional candidate, has spoken out in support of the U.S. President’s decision to dismiss Federal Reserve Governor Lisa Cook. Leavitt’s comments came during a televised interview, where she praised the President’s “bold leadership” and argued that Cook’s economic policies have “failed the American people at a time when stability and accountability are needed most.”
The controversy erupted almost immediately, as many legal experts and policymakers noted that the President does not have the unilateral authority to fire a Federal Reserve Governor. The Federal Reserve system is designed to operate independently from the executive branch, precisely to shield monetary policy from partisan politics. Leavitt, however, doubled down on her remarks, framing the dismissal as a necessary step to “restore public confidence in America’s economy.” Her support for the President’s position was met with both applause from her conservative base and fierce criticism from opponents who accused her of undermining the independence of one of the nation’s most important institutions.
Governor Lisa Cook, who was appointed to the Federal Reserve Board and became the first Black woman to hold such a position, did not remain silent. Instead of responding with anger or personal attacks, Cook calmly rejected the notion that she could be removed in this manner. In a brief statement, she said: “You don’t have the legal right to fire me. The Federal Reserve operates independently of the White House, and that independence is crucial to maintaining trust in our financial system. If he did that, I would take the necessary steps to defend both the institution and its mission.” Her remarks struck a tone of composure and resilience, reinforcing the principle that the Fed must remain insulated from political interference.
The exchange has set off a heated debate in Washington. Supporters of the President argue that the administration has the responsibility to act when policymakers fail to deliver results, particularly in the face of inflation concerns and ongoing debates over interest rate policy. Critics, however, insist that even suggesting the removal of a Federal Reserve Governor threatens the stability of the U.S. financial system and could spook global markets. Legal scholars have also weighed in, pointing out that governors of the Federal Reserve can only be removed “for cause,” such as misconduct, rather than political disagreements.
For Leavitt, this latest statement cements her position as a vocal supporter of the President’s most controversial moves. It also underscores her growing influence in shaping conservative narratives ahead of the next election cycle. For Cook, the incident highlights the delicate balance she must strike in defending her independence while continuing to guide U.S. monetary policy during turbulent times.
As the dust settles, one thing is certain: the clash between political ambition and institutional independence has once again come to the forefront of American politics. The outcome of this debate could have long-lasting implications for the credibility of the Federal Reserve, the boundaries of presidential authority, and the future of monetary policy in the United States.
