The US Supreme Court has ruled that President Donald Trump does not have the authority to remove Federal Reserve Governor Lisa Cook from her post.
The decision effectively halts the administration's legal campaign to oust Cook, marking a significant check on executive power over the central bank.
The ruling is a decisive victory for Fed independence.
By blocking the removal attempt, the Court has reinforced the statutory protections that shield governors from political dismissal.
This outcome alleviates immediate concerns among market participants that the administration could exert direct control over the Federal Reserve's composition and, by extension, its monetary policy decisions.
The case had been a focal point of tension between the White House and the central bank.