TD Cowen puts 25% odds on Trump removing Fed governor Cook

TD Cowen's Washington research team assigned a 25% probability to President Trump succeeding in removing Federal Reserve Governor Lisa Cook from the Board of Governors, according to a client note. The estimate frames an unresolved legal question over the president's authority to dismiss a sitting Fed governor, a protection that underpins market assumptions about central bank independence. The note's implied base case is that the attempt fails.