Donald Trump’s bid to remove Federal Reserve Governor Lisa Cook from her position has suffered a significant setback after a federal judge issued a ⁤preliminary injunction blocking the move.

The⁤ president revealed last month his intention to remove Ms. Cook, alleging ⁢mortgage fraud. The white House claims she inaccurately described properties on mortgage applications, potentially securing more favorable loan terms.

The ‍move was widely interpreted as an attempt to undermine the Federal Reserve’s independence ⁢and potentially install a governor more aligned with Trump’s desire for interest rate cuts, ⁣particularly in the context of ongoing trade⁣ tensions⁣ and economic concerns.

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Ms. Cook,who denies any wrongdoing,was appointed to the Fed’s board by former President joe Biden. As a member of the board, she participates in crucial votes that determine US monetary policy and interest rates.

Late Tuesday, Ms. Cook secured a preliminary court ruling that found⁤ the Trump administration’s claims of mortgage fraud were likely insufficient grounds for ⁣her removal. The judge indicated the evidence presented did not demonstrate a clear case of intentional misrepresentation or a violation ⁢of ethical standards.