Trump official confirmed to Fed board but court rejects Lisa Cook removal bid
Senate Republicans voted on Monday to confirm a senior Trump official to the Federal Reserve’s board of governors as the White House raced to strengthen the US president’s control over the central bank ahead of its latest meeting,Hours before Fed policymakers convene for their September decision on interest rates, the Senate voted 48 to 27 to confirm Stephen Miran – already chair of Donald Trump’s council of economic advisers – as a governor,The vote concluded just as a US appeals court declined the Trump administration’s request to fire Lisa Cook, a governor appointed by Joe Biden, before the two-day policy meeting begins on Tuesday,The ruling from the US court of appeals for the District of Columbia Circuit means that Cook may remain in her position during the policy meeting where the Fed is expected to cut interest rates,Miran’s appointment marks the first time in the history of the modern Federal Reserve, which stretches back almost a century, that a sitting member of the executive branch would also work at the highest levels of the central bank.
Trump has made no secret of his plans to influence the Fed, calling into question the future of its longstanding independence from political oversight by publicly describing plans to swiftly build “a majority” on its board,He has repeatedly broken with precedent – presidents typically allow the Fed to operate with interference – to demand interest rate cuts, and attack senior Fed officials, including its chair Jerome Powell, when they repeatedly defied these calls,While Powell has signaled the Fed is gearing up to resume rate cuts, Trump has already made clear he is unlikely to be satisfied by its cautious approach,Concerning economic signs, including data indicating that the labor market has stalled while inflation picked up, have reinforced expectations that many policymakers will want to tread carefully,The administration has played down these official reports – and fired one of the officials responding for overseeing them.
Trump’s proposed replacement is an ardent supporter of his agenda, who has been accused of misrepresenting and exaggerating statistics.While Miran described the Fed’s independence as “critical” during a confirmation hearing earlier this month, and pledged to preserve it as governor, his decision to only take unpaid leave from his current job at the White House, rather than resign, raised questions over his ability to operate independently.The administration has also been pushing to remove Cook for the Fed’s board as soon as possible, despite her legal action over Trump’s bid to dismiss her.The president has cited unconfirmed allegations of mortgage fraud.US district judge Jia Cobb also ruled on 9 September that Trump’s unfounded claims of mortgage fraud were not enough to terminate Cook under existing law.
Congress created provisions to shield the Fed from political interference including that the president could only fire a governor “for cause”.The law does not define what would qualify as cause for termination.Cook has denied wrongdoing, and argued Trump has no authority to fire her.Her term is not due to expire until 2038.A respected economist, with stints at Harvard University and Stanford University, she is the first Black woman to sit on the Fed’s board of governors.
In August, Cook sued the Fed and Trump alleging the president chose to fire her for her stance on monetary policy.Early on Monday, Trump reiterated his call for lower rates.Powell “MUST CUT INTEREST RATES, NOW, AND BIGGER THAN HE HAD IN MIND”, the US president wrote on his Truth Social platform, claiming: “HOUSING WILL SOAR!!!”The latest Fed decision will be announced on Wednesday.
US agrees commercial terms on TikTok sale, as Trump says China talks went ‘very well’ – as it happened
Donald Trump has dropped a firm hint that the US and China have reached a deal about the future of TikTok.Posting on Truth Social a few minutes ago, Trump declares that the meeting taking place between officials from the US and China about trade in Madrid had gone “VERY WELL”Trump wrote:The big Trade Meeting in Europe between The United States of America, and China, has gone VERY WELL! It will be concluding shortly. A deal was also reached on a “certain” company that young people in our Country very much wanted to save.They will be very happy! I will be speaking to President Xi on Friday. The relationship remains a very strong one!!! President DJTTikTok’s owner, Beijing-headquartered ByteDance, has faced a Wednesday deadline to find a buyer for the short video site’s US operations, or be banned in the country
Chinese economy slows amid Trump trade war and weaker consumer spending
China’s economy showed further signs of weakness last month as it comes under strain from Donald Trump’s trade wars and domestic problems, with factory output and consumer spending rising at their slowest pace for about a year.The disappointing data adds pressure on Beijing to roll out more stimulus to fend off a sharp slowdown, with a debt crisis denting the country’s once-booming property sector and exports facing stronger headwinds.Economists were split over whether policymakers should introduce more near-term fiscal support to hit their annual 5% growth target, with manufacturers awaiting further clarity on a US trade deal and domestic demand curbed by an uncertain job market and property crisis.Industrial output grew by 5.2% year on year last month, National Bureau of Statistics data showed on Monday, the lowest reading since August 2024 and below the 5
Late-November budget may affect Christmas shopping, says Aldi boss
The UK boss of Aldi has warned that the late November timing of the budget could hit consumer spending in the all-important run-up to Christmas.Giles Hurley, the UK chief executive of Aldi in the UK & Ireland, said that the uncertainty over the measures that the chancellor, Rachel Reeves, will take to address a fiscal hole in the government’s finances could affect festive season spending decisions by consumers.“There is no doubt the budget does create a bit of uncertainty,” he said. “If you ask customers across the length and breadth of the country they would say that inflationary pressures are persistent. Inflationary challenges are just tremendously challenging
Car seats being sold online in UK that risk lives of children, Which? finds
Unregulated children’s car seats are being sold by leading online retailers in the UK, a Which? investigation has found.The consumer group discovered products for sale on platforms including eBay, Shein, Wish, Little Dreams and ManoMano that did not carry the orange certification labels showing compliance with regulation. Without these markings, parents cannot be sure the seats have been tested to the legal standard.Which? said the car seats were putting children’s lives at risk. Many were priced between £12
UK and US line up string of deals to build modular nuclear reactors in Britain
Labour’s plans for a massive expansion of nuclear power have been given a boost with a string of transatlantic deals for new modular reactors announced before Donald Trump’s visit.The UK and US governments have promised to fast track safety checks, and announced several new private sector investment deals, with Labour emphasising the potential benefits for jobs and growth.In the biggest and most advanced commercial project, Britain’s largest energy supplier Centrica will pair with the US reactor firm X-energy to build up to 12 advanced modular reactors in Hartlepool, announcing an investment that could create up to 2,500 jobs in the north-east of England.The prime minister, Keir Starmer, said the US-UK agreement, expected to be signed off formally during the state visit, was a “landmark nuclear partnership” that would also power economic growth.He said: “These major commitments set us well on course to a golden age of nuclear that will drive down household bills in the long run, while delivering thousands of good jobs in the short term
Bank of England urged to slow bond-selling plan to help cut record UK borrowing costs
Andrew Bailey has been urged by former Bank of England policymakers to ease pressure on the government’s borrowing costs by cutting back its bond-selling plans.In a crunch week for the economy, four influential ex-members of the Bank’s monetary policy committee (MPC) said a change in course was needed.Britain’s long-term borrowing costs have hit their highest level in 27 years, intensifying the pressure on chancellor Rachel Reeves before her 26 November autumn budget.Threadneedle Street has blamed the rise on global factors., triggered by Donald Trump’s trade war and his assault on the independence of the US Federal Reserve
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