[no_wizard]

The fear is the loss of safe guards and independence of the Federal Reserve. Trump is actively trying to remove safe guards and independence that would allow the Federal Reserve to counteract anything like this. If for instance Trump wants to hold interest rates low regardless of what anyone is telling him, he wants that power[0][1].

The upcoming decision by the Supreme Court on case Trump v. Cook is about this very issue[2]

[0]: https://www.cnn.com/2026/01/29/economy/federal-reserve-indep...

[1]: https://www.pbs.org/newshour/nation/why-the-federal-reserves...

[2]: https://hls.harvard.edu/today/will-the-federal-reserve-remai...

[abduhl]

Trump v Cook is not upcoming it has been argued already

https://www.oyez.org/cases/2025/25A312

[no_wizard]

Edited! Though it was suppose to be written as upcoming decision, as yes the case was argued already but not ruled on

[groundzeros2015]

If they won’t raise rates for fear of losing independence it’s already over.

[no_wizard]

If Trump v. Cook is a loss for Trump, they won't be in fear of losing independence, as I understand it.

[groundzeros2015]

Which branch of government is the fed under?

[no_wizard]

None. As per the Federal Reserve Act it is an independent agency not under any branch of government.

Trump is trying to change that through judicial means, rather than purusing a legislative one. Dubious at best, but the Supreme Court as of late has not been reliable in upholding important precedent.