Trump declares war on the Fed, setting up a titanic struggle for world's most important central bank

(Credit: Al Drago—Bloomberg via Getty Images)

• President Donald Trump’s announcement Monday night that he is firing Fed Governor Lisa Cook sent markets lower as investors price in doubts about the Federal Reserve’s independence, a cornerstone of U.S. financial power. Filling another vacancy would give Trump-appointed governors a majority on the Fed board.

President Donald Trump escalated his ongoing fight against the Federal Reserve with an unprecedented move to fire Fed Governor Lisa Cook, putting the central bank’s independence at risk and setting up a struggle that will play out in courts and financial markets.