Trump’s Control Of Federal Reserve,a “Serious Danger” -ECB President

By: Aremu Toyeebaht

European Central Bank (ECB) President, Christine Lagarde, has cautioned that allowing U.S. President, Donald Trump to assert direct control over the Federal Reserve would pose a “serious danger” to both the American and global economy.

Speaking on Monday, Lagarde expressed concern over Trump’s reported efforts to “remove Federal Reserve governor Lisa Cook”, a move critics argue is part of a wider push to reshape the U.S. central bank with allies sympathetic to his calls for lower interest rates.

“If he were to succeed, it would be a very serious danger for the U.S. economy and for the world economy,” Lagarde warned.

Trump has repeatedly clashed with the Federal Reserve over interest rate policy, accusing the central bank of undermining growth and markets. Analysts fear that attempts to politicize monetary policy could undermine the Fed’s independence — a cornerstone of U.S. economic stability — and destabilize global financial markets.

The remarks by Lagarde come at a sensitive time for the global economy, already grappling with inflationary pressures, high borrowing costs, and geopolitical uncertainty.

Observers say any significant shift in the Fed’s independence could ripple far beyond U.S. borders, affecting currency markets, international trade, and global investor confidence.