Federal Reserve

Nov. 3 (UPI) — The United States’ 10 richest billionaires saw their wealth grow last year by nearly $700 billion, according to a new report published Monday by Oxfam, which warns the Trump administration is worsening U.S. inequality.

The report states that in the past year, the wealth of U.S. billionaires grew by $698 billion.

Oxfam, the British-founded confederation of nearly two dozen non-governmental organizations, citing Federal Reserve data, found that between 1989 and 2022, a household in the top 0.1% gained $39.5 million, while a household in the top 1% gained about $8.3 million. Meanwhile, a bottom 20% household saw its wealth only grow by $8,465.

This equals to the poorest household in the top 1% having gained 987 times more wealth than the richest household in the bottom 20%, according to the report.

It continues by stating that while the wealth of working- and middle-class families have barely grown in more than three decades, America’s richest have seen their purses overflow.

As evidence, Oxfam said the share of national income going to the top 1% doubled from 1980 to 2022, while the share going to the bottom 50% decreased by one-third.

It also pointed to the top 1% owning half of the entire stock market, while the bottom half of Americans only hold 1.1%.

“The data confirms what people across our nation already know instinctively: the new American oligarchy is here,” Abby Maxman, Oxfam America’s president and CEO, said in a statement accompanying the publication of the report.

“Billionaires and mega-corporations are booming while working families struggle to afford housing, healthcare and groceries.”

The report warns that the Trump administration is taking actions that threaten to worsen inequality in the United States.

According to Oxfam, the Trump administration, backed by a Republican-controlled Congress, “has moved with staggering speed and scale to carry out a relentless attack on working class families, and use the power of the office to enrich the wealthy and well-connected.”

Maxman said the Trump administration and congressional Republicans “risk turbocharging” this inequality, while adding that what they are doing isn’t new, but what is different “is how much undemocratic power they’ve now amassed.”

Oct. 27 (UPI) — The Federal Reserve will meet Wednesday, as the U.S. government shutdown enters its fifth week, to decide whether to cut interest rates for a second time since September.

Last week, the Labor Department released its Consumer Price Index, showing inflation rose at a rate of 3% last month. While inflation remains above the Federal Reserve’s 2% target, many economists expect a rate cut this week.

“Concerns about tariffs driving prices higher are still not showing up in most categories,” Scott Helfstein, Global X’s head of investment strategy, told CBS News on Friday. “Nothing in the inflation print should stop the Fed from cutting rates next week. Yes, prices are higher, but not enough to keep them from helping the economy.”

While some economic data has not been released amid the government shutdown, forcing the Federal Reserve to make its decision without some key information, a quarter-point cut to benchmark federal funds this week would lower the target to somewhere between 3.75% and 4%.

“This time around, there are warning signs all around the economy, from rising unemployment to seven straight months of contraction in manufacturing due to tariffs,” Ryan Young, senior economist at the Competitive Enterprise Institute, told Fox Business. “That is what is pushing Fed officials towards cutting rates. But that stimulus comes with a tradeoff: it risks higher inflation. They’re taking a chance, and it might not pay off.”

Last month, Federal Reserve chairman Jerome Powell announced a 0.25% rate cut, the first of President Donald Trump‘s second term and the first since the United States imposed wide-ranging tariffs. The Federal Reserve works to control inflation, while maximizing job growth.

U.S. markets, which closed higher Monday, are also expecting another rate cut this week, along with a third in December.

The Dow Jones Industrial Average and the S&P 500 are currently sitting at record highs. On Friday, the Dow closed for the first time above 47,000, buoyed by the expectation of another rate cut this week, as well as big tech earnings reports and a possible China trade deal.

Oct. 24 (UPI) — The Bureau of Labor Statistics is set to release the Consumer Price Index report Friday, two weeks after calling back economists and other employees to prepare the document despite the government shutdown.

The CPI report was originally scheduled to be published Oct. 15, but the shutdown delayed work. However, federal law requires the Social Security Administration to make its cost-of-living adjustment annually based on inflation from the third quarter.

That adjustment, known as COLA, must be published by Nov. 1, though it was originally expected to be released in mid-October.

The BLS called back economists and IT specialists to prepare the report the second week of October.

Economic experts expect Friday’s report will show that inflation has risen to its highest level since May 2024 — 3.1%, ABC News reported. The Federal Reserve‘s target annual inflation rate is 2%.

NBC News reported the report is expected to be released at 8:30 a.m. EDT.

Thursday marked the 23rd day the government was closed for business pending the passage of a stopgap funding bill, making it the second-longest federal shutdown in U.S. history. Friday is Day 24.

Oct. 1 (UPI) — Federal Reserve Governor Lisa Cook will be permitted to stay on the central bank board at least through next year after legal questions over her termination by U.S. President Donald Trump.

On Wednesday, the U.S. Supreme Court ruled that Cook can remain on the job on an interim basis into 2026, and agreed to hear oral arguments in January with a likely ruling before June’s end.

The nation’s high court, however, did not explain the basis of its decision in the brief ruling.

In August, Trump fired Cook over his claims of mortgage fraud which Cook has since denied.

No justice dissented in the rare break from a majority that typically has ruled on the side of the Trump administration over other legal issues.

Trump requested Supreme Court intervention in mid-September, but Cook fought back arguing that he does not have the authority.

U.S. presidents under the Federal Reserve Act are forbidden from arbitrarily removing a federal reserve governor unless evidence of wrongdoing presented a “for cause” reason to do so.

Cook sued Trump over the attempted ousting, citing constitutional protections guaranteed to her as an official of the independent federal board.

On Wednesday, a legal analyst said the court’s ruling on Cook means justices are saying: “we’re not going to act immediately.”

“It wouldn’t end the fight,” MSNBC legal commentator Lisa Rubin commented on a news program on January’s looming Supreme Court hearing on Cook.

According to Rubin, the Fed’s Cook could “continue to fight on the merits weather or not (Trump) is legally entitled to fire her for the long-term.”

Sept. 26 (UPI) — Core inflation stayed about the same in August, the Federal Reserve said, and personal consumption expenditures had a 0.3% gain for the month.

The personal consumption expenditures price index rise made the annual headline inflation rate 2.7%, which is the inflation over last year, the Commerce Department reported.

The core inflation rate is at 2.9%. It rose 0.2% for the month.

Meanwhile, consumer sentiment fell to 55.1, the University of Michigan said in a survey released Friday. The report was the seventh-lowest on record since 1952.

The pessimism stems from fears of higher inflation, which could get worse. On Thursday, President Donald Trump announced new tariffs on trucks, cabinets and pharmaceuticals.

Americans are now also becoming nervous about the labor market.

“Consumers continue to express frustration over the persistence of high prices, with 44% spontaneously mentioning that high prices are eroding their personal finances, the highest reading in a year,” Joanne Hsu, the Michigan survey’s director, said in a release.

“Interviews this month highlight the fact that consumers feel pressure both from the prospect of higher inflation as well as the risk of weaker labor markets,” she said.

Consumer spending is still going strong. Personal consumption expenditures climbed 0.6% in August from the previous month, the Commerce Department said Friday.

After adjusting for inflation, spending rose 0.4% last month. The personal saving rate, which is personal saving as a percentage of disposable personal income, was 4.6%.

“Recent data show consumers resumed spending over the summer, especially those with higher incomes. And why wouldn’t they? Unemployment is still low, nominal wages are still increasing and asset valuations are near all-time highs,” CNN reported Richmond Fed President Tom Barkin said Friday at an event in Washington, D.C.

Stock market futures rose after the report, while Treasury yields dipped, CNBC reported.

“Net, net, consumers literally hit it out of the park with very strong gains in spending not just for August, but June and July as well,” Chris Rupkey, chief economist at Fwdbonds, told CNBC.

“Summer was the time for consumer revenge spending after hunkering down in retreat from the shops and malls during the uncertainty and fear produced by the White House tariff rollout in April and May.”

Sept. 19 (UPI) — The U.S. Senate confirmed 48 appointees of President Donald Trump, almost entirely made up of ambassador and sub-cabinet positions.

The lone Senate vote unfolded 51-47 mostly along party lines, after a rule change earlier in the month changed the confirmation process.

Earlier this month, Republican lawmakers passed changes allowing nominees to be confirmed through the Senate in a one group rather than individually.

The term is referred to as “en bloc” and only applies to lower roles like ambassadors, not judges or cabinet positions.

Former Trump 2020 presidential campaign advisor Kimberly Guilfoyle, and Callista Gingrich, the wife of former House Speaker Newt Gingrich, were among the most notable nominees confirmed.

Guilfoyle is the U.S. ambassador to Greece, while Gingrich was confirmed as the American ambassador to Switzerland and Liechtenstein.

Senate Democrats had pushed back against the group confirmation vote. Their Republican colleagues continually accused them of holding up or obstructing the process, with Senate Majority Leader John Thune, R-S.D., calling the lead-up “a broken process” and “an embarrassment.”

Senate Minority Leader Chuck Schumer, D-N.Y., referred to the result as “a sad, regrettable day for the Senate.”

The group confirmation comes after Senate Republicans earlier this week confirmed White House economic adviser Stephen Miran to join the Federal Reserve Board.

Mrian’s confirmation comes amid vocal concerns about his independence as he will serve in both capacities.

Sept. 18 (UPI) — President Donald Trump has asked the U.S. Supreme Court to allow him to remove Federal Reserve Governor Lisa Cook.

Trump has cited a fraud allegation against Cook for his reasoning for firing her, but Cook has fought back, arguing that he doesn’t have the authority.

A federal appeals court on Monday rejected Trump’s attempt to fire Cook.

The three-judge panel of the U.S. Court of Appeals for the D.C. Circuit issued a 2-1 emergency ruling Monday, ahead of the central bank’s start of monetary policy meetings on Tuesday.

The Fed on Wednesday announced a 0.25% rate cut in the wake of Trump’s demands to do so.

The administration waited for the Fed’s meeting to conclude before going to the high court. It has often sided with Trump on emergency issues.

The Fed traditionally is an independent institution that doesn’t follow White House orders.

If the court agrees with Trump, it would be the first time a Fed governor was fired by a president in the central bank’s 111-year history.

Trump moved to fire Cook late last month on allegations of mortgage fraud, prompting Democrats to accuse the president of conducting a power grab.

Cook challenged her removal in court, and won reinstatement. The district found that her firing likely violated the so-called for-cause provision of the Federal Reserve Act and the Fifth Amendment’s Due Process Clause.

Twice since Aug. 15, Federal Housing Finance Agency Director William Pulte, a Powell critic, sent criminal referrals for Cook to U.S. Attorney General Pam Bondi, accusing Cook of mortgage fraud, alleging she listed properties she owns inconsistently on different forms. The allegations go back to before she was on the board. No charges have been filed.

Trump points to the mortgage fraud allegations as cause for her removal.

Democrats have backed Cook in the fight to keep her seat. Sen. Elizabeth Warren, D-Mass., has been among the most vocal and has described Trump’s attempt to remove Cook an “illegal authoritarian power grab.”

“The courts keep rejecting Donald Trump’s illegal attempt to take over the Fed so he can scapegoat away his failure to lower costs for American families,” Warren said in a statement following the ruling.

“If the courts — including the Supreme Court — continue to uphold the law, Lisa Cook will keep her seat as a Fed governor.”

Sept. 17 (UPI) — The Federal Reserve on Wednesday is expected to announce fresh rate cuts in the wake of U.S. President Donald Trump‘s demands to do so amid ongoing tariff worries and its impact on the American economy.

The central bank has not lowered interest rates since December and the Federal Open Market Committee is widely expected to lower rates by a quarter percent at its next meeting around 2 p.m EDT. It comes in an ongoing feud with White House that’s infuriated the president as the bank has been targeted by the Trump administration as it seeks to consolidate greater federal control under the executive branch.

On Monday, Trump’s newly appointed member to the Federal Reserve Stephen Miran was confirmed by the GOP-controlled Senate in a 48-47 vote.

It’s been suggested that Miran will dissent from the anticipated Fed decision as the administration seeks a higher rate reduction.

The Fed opted to take a “wait and see” approach on rates as the economy shifted under the aggressive economic and tariff policies implemented by Trump.

Trump for months has been vocally critical of Fed Char Jerome Powell and the independent board in his demands to lower interest rates as the president has recently attempted to illegally remove Fed Governor Lisa Cook from her role.

Powell did not give clear indications of the FOMC’s plan for Wednesday in a speech at the end of August to the annual Economic Policy Symposium in Jackson Hole, Wyoming.

On Monday, Trump said in a social media post in all caps the FOMC “must cut interest rates, now, and bigger than (Powell) had in mind.”

“In terms of the Fed’s dual-mandate goals, the labor market remains near maximum employment, and inflation, though still somewhat elevated, has come down a great deal from its post-pandemic highs,” Powell said in Wyoming.

“At the same time, the balance of risks appears to be shifting,” he said on August 22.

But a Goldman Sachs economist said Tuesday the “key question” for the September FOMC meeting was whether it will “signal that this is likely the first in a series of conservative cuts.”

“We expect the statement to acknowledge the softening in the labor market but do not expect a change to the policy guidance or a nod to an October cut. However, Chair Powell might hint softly in that direction in his press conference,” David Mericle wrote to CNBC in a note.

Meanwhile, a separate economist suggests that “such an emergency-sized move” that Trump envisions “is not justified by the current data.”

“Any decision to cut by 50 basis points at this stage would appear to be driven more by political pressure than economic necessity,” Seema Shah, chief global strategist at Principal Asset Management, told CNN.

Sept. 15 (UPI) — Senate Republicans on Monday confirmed White House economic adviser Stephen Miran to join the Federal Reserve Board despite staunch Democratic concerns about his independence.

The Senate voted 48-47 mostly along party lines to narrowly approve Miran’s nomination to serve as governor on the Federal Reserve Board, an independent nonpartisan agency that has been targeted by the Trump administration as it seeks to consolidate federal government power.

He will fill the remainder of Adriana Kugler’s 14-year term, which is set to expire in January.

As one of seven Fed governors, Miran will be a key economic policymaker, voting on the country’s monetary policy, including U.S. interest rates, which President Donald Trump has been calling to be lowered for much of his second term.

Democrats have been in vocal opposition to Miran’s nomination, saying his appointment to the board would undermine its independence due to his loyalty to Trump and the fact that he will remain chair of the White House Council of Economic Advisers.

“Stephen Miran isn’t being nominated to help families. He’s being put on the Fed to do Trump’s bidding,” Sen. Ruben Gallego, D-Arizona, said in a statement defending his “no” vote.

“He’ll do whatever helps Trump politically and leave us all with higher prices and a bad job market.”

Republicans backed the nomination, with the GOP-led U.S. Senate Banking Committee Chairman Tim Scott, R-S.C., saying it is “a win” for the American people.

“He brings deep experience, proven leadership and a clear commitment to ensuring the American economy remains strong and competitive. I am confident Dr. Miran will act in an independent manner,” Scott said in a statement.

The Senate took up the vote Monday after the Senate Banking Committee earlier in the day voted to advance Miran’s nomination for the seat left vacant by Kugler, a Biden nominee, who abruptly resigned.

Miran said during the committee hearing that he would take a leave of absence from his position at the White House while finishing the remainder of Kugler’s term. That unusual arrangement and Trump’s pressure campaign to get the Fed to lower interest rates has stoked concern about the independence of the central bank.

“You are going to be technically an employee of the president of the United States, but an independent member of the board of the Federal Reserve?” Sen. Jack Reed, D-Rhode Island, said during the hearing. “That’s ridiculous.”

Miran said during the hearing that his thinking process would be independent while serving on the board. Sen. John Kennedy, R-La., replied that they would hold him to that.

Sen. Andy Kim, D-N.J., said in a recorded statement before the Senate vote that if Miran is confirmed he will call for him to resign as Trump’s chief economic advisor.

“He cannot have someone simultaneously working for the White House, working directly under Donald Trump, and sitting on the board of the Federal Reserve,” he said, adding that several of his Republican colleagues have told him that they are also “very uncomfortable” with arrangement.

“If he wants to go, he has to resign his position at the White House.”

The Fed is expected to begin discussions on interest rates Tuesday.

Federal Reserve Chair Jerome Powell has been reluctant to lower the cost of borrowing despite sharp criticism and insults by Trump, who is viewed as seeking to undermine the central bank’s independence.

Trump has attempted to fire Federal Reserve Governor Lisa Cook, alleging she committed mortgage fraud. A judge earlier found the charge to be unfounded and ordered her to be reinstated.

Sept. 15 (UPI) — A federal appeals court on Monday rejected President Donald Trump‘s attempt to fire Federal Reserve Governor Lisa Cook, handing the American president another legal defeat in his effort to gain influence over the independent monetary policy-setting agency.

The three-judge panel of the U.S. Court of Appeals for the D.C. Circuit issued a 2-1 emergency ruling Monday, ahead of the central bank’s start of monetary policy meetings on Tuesday.

The Trump administration had asked the appeals court to allow the president to fire Cook, the first Black woman to sit on the Federal Reserve Board, ahead of the meeting, but the court rejected his request, finding the administration had denied her due process protections.

“The government does not dispute that it failed to provide Cook even minimal process — that is, notice of the allegation against her and a meaningful opportunity to respond — before she was purportedly removed,” Judges Bradley Garcia and Michelle Childs, both President Joe Biden appointees, wrote in the ruling.

“Granting the government’s request for relief when Cook has received no meaningful process would contravene that principle.”

The president only has the power to remove someone from the independent bipartisan monetary-setting agency for cause.

Trump moved to fire Cook late last month on allegations of mortgage fraud, prompting Democrats to accuse the president of conducting a power grab.

Cook challenged her removal in court, and won reinstatement. The district found that her firing likely violated the so-called for cause provision of the Federal Reserve Act and the Fifth Amendment’s Due Process Clause.

The appeals court majority on Monday agreed with the district court, stating its ruling “is correct.”

“Cook has been serving in her position continuously despite the President’s purported termination. Granting the government’s request for emergency relief would thus upend, not preserve, the status quo,” the court ruled.

“Given these unique circumstances, and Cook’s strong likelihood of success on at least her due process claim, the government’s request for relief is rightly denied.”

In dissent, Judge Gregory Katsas, a Trump appointee, sided with the president, saying it was likely to prevail on its claims that it has cause for Cook’s removal.

Trump fired Cook as he was applying pressure on her boss, Fed Chair Jerome Powell, to lower interest rates, which he has been seeking for months.

Twice since Aug. 15, Federal Housing Finance Agency Director William Pulte, a Powell critic, sent criminal referrals for Cook to Attorney General Pam Bondi, accusing Cook of mortgage fraud, alleging she listed properties she owns inconsistently on different forms. The allegations go back to before she was on the board.

No charges have actually been filed.

Trump points to the mortgage fraud allegations as cause for her removal. Democrats have backed Cook in the fight. Sen. Elizabeth Warren, D-Mass., has been among the most vocal and has described Trump’s attempt to remove Cook an “illegal authoritarian power grab.”

“The courts keep rejecting Donald Trump’s illegal attempt to take over the Fed so he can scapegoat away his failure to lower costs for American families,” Warren said Monday night on X following the ruling.

“If the courts — including the Supreme Court — continue to uphold the law, Lisa Cook will keep her seat as a Fed governor.”

The ruling comes as Senate Republicans on Monday voted to confirm White House economic adviser Stephen Miran to join the Federal Reserve Board, despite Democrats voicing criticism over a White House advisor being a part of the independent agency.

The Trump administration renewed its request Sunday for a federal appeals court to let him fire Lisa Cook from the Federal Reserve’s Board of Governors, a move the president is seeking ahead of the central bank’s vote on interest rates.

The administration filed a response just ahead of a 3 p.m. Eastern deadline Sunday to the U.S. Court of Appeals for the District of Columbia, arguing that Cook’s legal arguments for why she should stay on the job were meritless. Lawyers for Cook argued in a Saturday filing that the administration has not shown sufficient cause to fire her, and emphasized the risks to the economy and country if a president were allowed to fire a Fed governor without proper cause.

Sunday’s filing is the latest step in an unprecedented effort by the White House to shape the historically independent Fed. President Trump’s move to oust Cook marks the first time in the central bank’s 112-year history that a president has tried to fire a governor.

“The public and the executive share an interest in ensuring the integrity of the Federal Reserve,” Trump administration lawyers argued in Sunday’s filing. “And that requires respecting the president’s statutory authority to remove governors ‘for cause’ when such cause arises.”

Bill Pulte, a Trump appointee to the agency that regulates mortgage giants Fannie Mae and Freddie Mac, has accused Cook of signing separate documents in which she allegedly said that both her Atlanta property and a home in Ann Arbor, Mich., also purchased in June 2021, were “primary residences.” Pulte submitted a criminal referral to the Justice Department, which has opened an investigation.

Trump relied on those allegations to fire Cook “for cause.”

Cook, the first Black woman to serve as a Fed governor, referred to the condominium as a “vacation home” in a loan estimate, a characterization that could undermine claims by the Trump administration that she committed mortgage fraud. Documents obtained by the Associated Press also showed that on a second form submitted by Cook to gain a security clearance, she described the property as a “second home.”

Cook sued the Trump administration to block her firing, and a federal judge ruled Tuesday that the removal was illegal and reinstated her to the Fed’s board.

The administration appealed and asked for an emergency ruling just before the Fed is set to meet this week and decide whether to reduce its key interest rate. Most economists expect they will cut the rate by a quarter point.

Suderman writes for the Associated Press.

Sept. 13 (UPI) — Federal Reserve Gov. Lisa Cook might not have committed fraud when obtaining a mortgage loan on at least one property for which she is accused of fraud.

Cook in 2021 described the Atlanta condominium that she bought as a second home or a vacation home in documents reviewed by The Washington Post and The New York Times.

A document from May 2021 described the Atlanta property’s use as a “vacation home, and a December 2021 form that she provided to the Biden administration called the condo a second home, according to The Washington Post.

She submitted the December document for review after President Joe Biden nominated her to join the Federal Reserve’s Board of Governors.

A similar review by The New York Times reaches the same conclusions but says the documents are not legal documents and do not disprove claims that she committed fraud by claiming the Atlanta property and another home in Ann Arbor, Mich.

Federal Housing Agency Director Bill Pulte initially raised concern that Cook might have committed fraud and said the newly released documents do not disprove fraud allegations.

“If Dr. Cook solicited estimates as a vacation home and then entered into a mortgage agreement as a primary residence, that is extremely concerning and … evidence of further intent to defraud,” Pulte said, told The New York Times.

Pulte has referred the issue to the Department of Justice, which is investigating the matter.

President Donald Trump announced he is firing Cook, but she challenged her dismissal in a lawsuit and remains a Federal Reserve governor at least until the legal matter is resolved.

Sept. 10 (UPI) — Wholesale prices dropped just a bit in August, potentially allowing the Federal Reserve to cut interest rates at its September meeting.

The Bureau of Labor Statistics released its Producer Price Index on Wednesday, which measures input costs of goods and services. It reported wholesale prices dropped 0.1% for the month, below Dow Jones estimates of a 0.3% gain, while on a 12-month basis, the headline PPI saw a 2.6% gain.

The core PPI, which excludes food and energy prices, was also off 0.1% after being expected to climb 0.3%. Excluding food, energy and trade, the PPI posted a 0.3% gain and was up 2.8% from a year ago.

The July figure was revised down to 0.7% — after reporting 0.9%.

Stock market futures gained after the release while Treasury yields were slightly negative.

The central bank’s Federal Open Market Committee is expected to release its decision on its key overnight borrowing rate when it meets on Sept. 16-17.

Odds for a larger half percentage point reduction rose slightly after the PPI release to about 10%, according to the CME Group’s FedWatch gauge.

The index for final demand services fell 0.2% in August, the largest decline since moving down 0.3 % in April. The August decrease can be traced to a 1.7% drop in margins for final demand trade services. Conversely, the indexes for final demand services less trade, transportation, and warehousing and for final demand transportation and warehousing services increased, 0.3% and 0.9%, respectively, the BLS said.

Three-quarters of the August decrease in prices for final demand services can be attributed to a 3.9% decline in margins for machinery and vehicle wholesaling. The indexes for professional and commercial equipment wholesaling, chemicals and allied products wholesaling, furniture retailing, food and alcohol retailing, and data processing and related services also moved lower. In contrast, prices for portfolio management advanced 2%. The indexes for truck transportation of freight and for apparel wholesaling also increased.

Prices for final demand goods rose 0.1% in August, the fourth consecutive advance. Leading the August increase in the index for final demand goods, prices for final demand goods less foods and energy rose 0.3%. The index for final demand foods moved up 0.1%. Conversely, prices for final demand energy declined 0.4%.

A major factor in the August increase in the index for final demand goods was a 2.3% advance in prices for tobacco products. The indexes for beef and veal; processed poultry; printed circuit assemblies, boards, modules and modems; and electric power also rose. In contrast, prices for utility natural gas decreased 1.8%. The indexes for fresh and dry vegetables, chicken eggs, and copper base scrap also fell.

Sept. 3 (UPI) — Attorneys for Federal Reserve Governor Lisa Cook denied claims of wrongdoing made by the Trump administration as she seeks to block President Donald Trump‘s efforts to fire her.

In a civil action filed Tuesday, Cook’s attorney, Abe Lowell, denied claims made by U.S. Director of Federal Housing Bill Pulte that she committed mortgage fraud, which Trump presented as the reason for her firing, are untrue.

“Governor Cook did not ever commit mortgage fraud,” her attorneys wrote.

The action seeks to follow up on a suggestion made Friday by the courts to use a fast-tracked review to rule on the key issues of Cook’s case, which would cut through more routine routes and timelines.

The filing states that Cook’s team would agree to this, as long as Trump, who is a defendant along with Federal Reserve Chair Jerome Powell and the Fed Board of Governors, would agree to allow Cook to serve as Fed Board Governor until the expedited ruling is made.

Cook has served as a Federal Reserve Governor since 2022 but was fired by Trump following a criminal referral from a member of his administration that alleged Cook committed mortgage fraud.

She has not been charged with any related crime.

Trump fired her “for cause,” which is the only way a president can fire a Fed governor under the Federal Reserve Act.

The White House has since attempted to justify her firing under the past case Reagan vs. United States, which the administration interprets to have created precedent that when a president determines cause for termination exists, it’s unreviewable unless protected by specific removal statutes.

“But the Government ignores the facts, context, and reasoning of Reagan to advance this contorted reading,” the lawsuit suggests. “In reality, Reagan hurts the Government’s case more than it helps it.”

Cook’s attorneys explained the “Reagan” case helped define that as officers such as Federal Reserve Board governors serve fixed terms, they are entitled “to notice and a hearing, and ultimately judicial review” before being removed for cause.

As for Cook’s role as a Fed governor, she remains active until a court rules otherwise, despite Trump’s actions.

Meanwhile, Pulte, who was responsible for both the original and a second criminal referral against Cook, said he would hold a meeting with the press on Thursday.

Pulte has posted a wave of allegations against Cook since mid-August.

“Once you see what we present on Thursday, there’s going to be a lot of people apologizing and retracting their false and defamatory statements,” Pulte posted Tuesday in regard to those who have defended Cook and called the Trump administration’s action a political power move. “Watch.”

Aug. 28 (UPI) — The Trump administration Thursday night announced a second criminal referral against Federal Reserve Board Governor Lisa Cook for mortgage fraud, as she sues President Donald Trump for attempting to illegally dismiss her.

William Pulte, the agency’s director, announced the second referral on X, stating “3 strikes and you’re out.”

“Lisa Cook needs to step aside — with the evidence coming out on her 3rd mortgage and her alleged misrepresentations to the Federal Government ethics department, I believe she is causing irreparable harm to our beloved Federal Reserve,” Pulte said in a second statement. “How is Jay Powell fine with her behavior?”

Pulte had sent the first criminal referral to Attorney General Pam Bondi on Aug. 26, accusing Cook, the first Black woman to sit on the independent board, of falsifying documents and committing mortgage, bank and wire fraud. She is accused of signing two separate mortgage documents for two separate properties that claim each is her primary residence. One property is in Michigan and the other is in Atlanta. The two documents were allegedly signed two weeks apart during the summer of 2021.

The new referral is about a third property in Cambridge, Mass.

Pulte states Cook misrepresented the property by calling it her “second home” on a 15-year mortgage document in December 2021, and then listing it on a U.S. ethics form as an “investment/rental property” weeks later.

Trump moved to fire Cook on Monday, after calling for her to resign, citing the first criminal referral as reason for the dismissal, the legality of which was unclear and has prompted staunch opposition from Democrats.

The second referral was announced hours after Cook sued Trump for attempting to fire her.

“This case challenges President Trump’s unprecedented and illegal attempt to remove Governor Cook from her position, which, if allowed to occur, would be the first of its kind in the Board’s history,” the suit said.

“It would subvert the Federal Reserve Act, which explicitly requires a showing of ’cause’ for a Governor’s removal, which an unsubstantiated allegation about private mortgage applications submitted by Governor Cook prior to her Senate confirmation is not,” the case introduction continued.

“The President’s actions violate Governor Cook’s Fifth Amendment due process rights and her statutory right to notice and a hearing under the [Federal Reserve Act],” it further stated. “Accordingly, Governor Cook seeks immediate declaratory and injunctive relief to confirm her status as a member of the Board of Governors, safeguard her and the Board’s congressionally mandated independence, and allow Governor Cook and the Federal Reserve to continue its critical work.”

The suit names Trump, Fed Chairman Jerome Powell and the Fed Board of Governors as defendants, and a hearing for a request for a temporary restraining order has been slated for 10 a.m. EDT on Friday in front of Federal Judge Jia Cobb.

Should she win the case, her lawyers ask for Trump to declare she remains an active Fed governor, and that board members can only be removed for cause, as described in the Federal Reserve Act, the law under which Trump is attempting to fire her.

The suit also seeks “an award of the costs of this action and reasonable attorney fees under the Equal Access to Justice Act or any other applicable law,” as well as an “award of all other appropriate relief.”

Trump campaigned on retaliating against political opponents. Since returning to the White House in January, he has used his executive powers to strip lawyers and law firms that have represented or are connected to his rivals of security clearances.

Two other Democrats and Trump critics — New York Attorney General Letitia James and Sen. Adam Schiff of California — have also been accused of mortgage fraud by the Trump administration.

Trump’s attempt to fire Cook follows months of the president applying political pressure on her boss, Powell, to lower interest rates. Despite the insults and demands from Trump, Powell has resisted, stating economic policy will not be determined by politics.

Democrats have accused Trump of perpetrating an illegal authoritarian power grab by firing Cook. On Thursday night, Sen. Elizabeth Warren, D-Mass., ranking member of the Senate Banking, Housing and Urban Affairs Committee, accused Trump of attempting to “turn the Federal Reserve into the ‘Central Bank of Trump.'”

“The Fed makes decisions based on economic data — not political pressure,” she said in a statement. “This move would undermine the world’s confidence in our economy and harm working people.

“And it is illegal.”

Aug. 26 (UPI) — Federal Reserve Governor Lisa Cook has declared that not only won’t she resign after President Donald Trump fired her, but will sue him for trying.

“President Trump purported to fire me ‘for cause’ when no cause exists under the law, and he has no authority to do so,” Cook said in a statement Tuesday. “I will not resign.”

“I will continue to carry out my duties to help the American economy as I have been doing since 2022,” she concluded.

Trump sent her a letter Monday that stated “Pursuant to my authority under Article II of the Constitution of the United States and the Federal Reserve Act of 1913, as amended, you are hereby removed from your position on the Board of Governors of the Federal Reserve, effective immediately.”

Section 10 of the Federal Reserve Act does state a Fed governor can be “removed for cause by the President.”

Trump listed a criminal referral the Justice Department received from U.S. Director of Federal Housing Bill Pulte as his cause, which he alleged to have evidence Cook committed mortgage fraud.

Pulte, who has made several accusations against Cook over more than a week, posted a statement Monday from the U.S. Federal Housing Department.

“Thank you President Trump for your commitment to stopping mortgage fraud and following the law,” Pulte wrote to X. “If you commit mortgage fraud in America, we will come after you, no matter who you are.”

However, no charges have been levied against Cook of any sort.

Cook has since retained the services of attorney Abbe Lowell.

“President Trump has no authority to remove Federal Reserve Governor Lisa Cook,” he said in a statement Tuesday.

“His attempt to fire her, based solely on a referral letter, lacks any factual or legal basis,” Lowell added. “We will be filing a lawsuit challenging this illegal action.”

Two of the seven current Fed governors are prior Trump appointees, and as now-former Fed Governor Adriana Kugler resigned earlier this month, Trump can appoint someone of his choice to fill her seat. Should Trump succeed in terminating the Biden-appointed Cook or should she resign, he could also replace her with an appointee of his choice, which would shift the board to a majority of governors who share his economic positions.

Aug. 26 (UPI) — President Donald Trump on Monday fired Federal Reserve Governor Lisa Cook as he continues to feud with her boss over lowering interest rates.

The legality of Cooks’ firing was unclear, and has prompted Democrats to accuse the Republican president of perpetrating an “illegal authoritarian power grab.”

Trump informed Cook of her dismissal in a letter he made public on his Truth Social platform, informing the first Black woman to sit on the Reserve Board that he has “determined that there is sufficient cause to remove you from your position” over allegations of making false statements on mortgage agreements.

“In light of your deceitful and potentially criminal conduct in a financial matter, they cannot and I do not have such confidence in your integrity,” Trump said in the letter.

Trump fired Cook following months of applying political pressure on her boss, Federal Reserve Chair Jerome Powell, to lower interest rates. Amid the insults and demands Trump has made of Powell, the Trump-nominated chair from his first administration has stated economic policy will not be influenced by politics.

On Aug. 15, Federal Housing Finance Agency Director William Pulte, a Powell critic, sent a criminal referral for Cook to Attorney General Pam Bondi, accusing Cook of falsifying documents as well as mortgage, bank and wire fraud for signing mortgage documents. She is accused of signing two separate mortgage documents for two separate properties that claim each is her primary residence. One property is in Michigan and the other is in Atlanta. The two documents were allegedly signed two weeks apart during the summer of 2021.

After Pulte made the criminal referral public, Trump called for Cook to resign, which she did not do.

In his Monday letter, Trump cited the allegations against Cook, saying her signing of both mortgage documents “exhibits the sort of gross negligence in financial transactions that calls into question your competence and trustworthiness as a financial regulator.”

Cook was fired under the Federal Reserve Act of 1913, which stipulates that the president may only remove members of the board for cause.

“The illegal attempt to fire Lisa Cook is the latest example of a desperate president searching for a scapegoat to cover for his own failure to lower costs for Americans,” Sen. Elizabeth Warren, D-Mass, ranking member of the Senate Banking Housing and Urban Affairs Committee, said in a statement.

“It’s an authoritarian power grab that blatantly violates the Federal Reserve Act, and must be overturned in court.”

Pulte on Monday night thanked Trump for his “commitment to stopping mortgage fraud” by firing Cook.

“Fraud will not be tolerated in President Trump’s housing market,” he said on X.

Trump campaigned on using the office of the presidency to retaliate against his political rivals. Since returning to the White House in January, he has used his executive powers to strip security clearances from perceived political rivals, including lawyers who prosecuted his criminal cases, as well as law firms and former security officials.

Along with Cook, New York Attorney General Letitia James and Sen. Adam Schiff of California have also been accused of mortgage fraud.

Early this month, Trump has also fired Erika McEntarfer, the Senate-confirmed head of the Bureau of Labor Statistics, after job growth was slower than expected, claiming the numbers were inaccurate. Democrats and critics accused Trump of dangerously politicizing economic data.

Cooks’ firing is expected to be challenged in court, but her vacancy permits Trump to nominate a replacement.

Following Cooks’ firing on Monday, Rep. Jerry Nadler, D-N.Y., described Trump’s move as “reckless” and clearly unlawful.”

“The Federal Reserve Act permits removal only for cause, serious misconduct, not partisan smears dressed as ‘referrals’ from a hack like Ed Martin,” Nadler said in a statement. Martin has been tapped to be the special attorney on mortgage fraud cases.

“Trump undermining the Fed for political reasons endangers financial stability and every American’s livelihood, and must be challenged in court immediately.”

Aug. 22 (UPI) — Federal Reserve Chairman Jerome Powell on Friday did not give a clear indication of the central bank’s plans to possibly cut interest rates amid pressure from President Donald Trump but spoke to the difficult conditions affecting decisionmakers.

Speaking from the annual Economic Policy Symposium in Jackson Hole, Wyoming, Powell said “in the near term, risks to inflation are tilted to the upside, and risks to employment to the downside” referring to two factors the Fed uses to determine if rates should change or stay as is, the latter of which is considered a barrier to inflation.

“In terms of the Fed’s dual-mandate goals, he labor market remains near maximum employment, and inflation, though still somewhat elevated, has come down a great deal from its post-pandemic highs. At the same time, the balance of risks appears to be shifting,” he said.

Mentioning “risks” was the closest Powell came to declaring rate cuts are in the works, which some investors are expecting to be enacted when the Federal Open Market Committee next meets in September.

Powell noted that while the Fed’s dual mandate requires “balance,” but also added that “the stability of the unemployment rate and other labor market measures allows us to proceed carefully as we consider changes to our policy stance.

“The Fed also announced Friday that the Federal Open Market Committee, or FOMC, which decides interest rates, has approved its latest updated “Statement on Longer-Run Goals and Monetary Policy Strategy,” which explains how it handles monetary policies and uses it to guide policy actions.

In a press release, the committee stated that it’s “prepared to act forcefully to ensure that longer-term inflation expectations remain well anchored.”

“Therefore, the Committee’s policy decisions reflect its longer-run goals, its medium-term outlook, and its assessments of the balance of risks, including risks to the financial system that could impede the attainment of the Committee’s goals,” the committee further stated.

Aug. 12 (UPI) — Bureau of Labor Statistics commissioner nominee E.J. Antoni has suggested suspending monthly jobs reports in favor of more accurate quarterly reports.

The economist criticized the current methods used by the BLS to gauge employment numbers in the United States in an Aug. 4 interview with Fox News Digital that was reported on Tuesday.

“How on Earth are businesses supposed to plan, or how is the [Federal Reserve] supposed to conduct monetary policy, when they don’t know how many jobs are being added or lost in our economy?” Antoni said.

“It’s a serious problem that needs to be fixed immediately,” he added.

Instead of continuing to publish what he called flawed monthly jobs reports that undergo significant adjustments months later, Antoni favors publishing more accurate quarterly reports.

That would continue until the BLS can correct data-gathering methods and ensure more accurate monthly reports, he said.

“Major decision-makers from Wall Street to D.C. rely on these numbers,” Antoni said. “A lack of confidence in the data has far-reaching consequences.”

Antoni is the lead economist for the Heritage Foundation, and President Donald Trump said he will ensure accuracy in the BLS jobs reports.

“Our economy is booming,” Trump said Monday evening in a Truth Social post. “E.J. will ensure the numbers released are honest and accurate.”

Trump on Aug. 1 fired former BLS Commissioner Erika McEntarfer after the BLS reported 73,000 new jobs in July, which was less than half of the 147,000 jobs reported in June.

The BLS on Aug. 1 revised down the June report to 14,000 jobs created, which is 133,000 and 90.5% fewer than initially reported.

The BLS also revised downward its prior employment report for May, which initially was reported as 144,000 new jobs, to 19,000.

The revised May jobs report is 125,000 fewer than initially reported, which is a change of 87%.

Trump accused McEntarfer of knowingly producing false jobs reports shortly before the Nov. 5 election that reflected well upon the Biden administration but later were revised to remove 818,000 jobs.

President Joe Biden nominated McEntarfer to lead the BLS in July 2023, which the Senate confirmed in January 2024.

Aug. 12 (UPI) — The Consumer Price Index rose slightly less than expected in July annually as tariffs showed only a minimal influence on prices.

The CPI increased a seasonally adjusted 0.2% for the month and 2.7% on a 12-month basis, the Bureau of Labor Statistics reported Tuesday. The Dow Jones estimates were 0.2% and 2.8%.

Excluding food and energy, core CPI increased 0.3% for the month and 3.1% from a year ago, compared with the forecasts for 0.3% and 3%. Federal Reserve officials generally consider core inflation to be a better reading for longer-term trends, CNBC reported.

The 2% increase in shelter costs was the main uptick in the index, while food prices were flat and energy fell 1.1%.

New vehicle prices, which are tariffed, were also unchanged, but used cars and trucks saw a 0.5% bump. Transportation and medical services both rose 0.8%.

Stock market futures showed gains after the report, while Treasury yields were mostly lower.

Tariffs did affect some areas. Household furnishings and supplies showed a 0.7% increase after rising 1% in June. But apparel prices rose just 0.1%, and core commodity prices increased just 0.2%. Canned fruits and vegetables, which are usually imported and also sensitive to tariffs, were flat.

“The tariffs are in the numbers, but they’re certainly not jumping out hair on fire at this point,” former White House economist Jared Bernstein said on CNBC. Bernstein served under former President Joe Biden.

The report comes in the middle of a political shake-up in the Bureau of Labor Statistics, which releases the CPI.

President Donald Trump on Monday nominated economist E.J. Antoni as commissioner of the BLS, a non-partisan agency he has criticized.

If confirmed by the U.S. Senate, the chief economist with the conservative Heritage Foundation would replace Erika McEntarfer, who was fired by Trump on Aug. 1, alleging that she had manipulated the jobs reports for three months.

He worked for the Texas Public Policy Commission before the Heritage Foundation. He has master’s and doctorate degrees in economics from Northern Illinois University.

Last week, Antoni posted on X: “There are better ways to collect, process, and disseminate data — that is the task for the next BLS commissioner, and only consistent delivery of accurate data in a timely manner will rebuild the trust that has been lost over the last several years.”

On Nov. 13, one week after Trump was elected again, he wrote on X: “DOGE needs to take a chainsaw to the BLS.”