A standoff is brewing between President Trump and economist Lisa Cook. Mr. Trump tried to fire her, claiming "there is sufficient cause" to believe that Cook made false statements on one or more mortgage agreements.

Washington

President Trump has initiated efforts to remove Federal Reserve board member Lisa Cook, marking the first attempt by a president to oust a Fed governor in over a century. Trump claims Cook made false statements on mortgage agreements, referencing a criminal referral from the Federal Housing Finance Agency, which alleged she claimed two different homes as her primary residence. Cook has denied wrongdoing and asserts that the president lacks the authority to remove her, promising to challenge the move in court.

Legal experts note that Supreme Court precedent allows a president to remove a Fed board member only for cause, such as misconduct on the job. Cook's lawyers argue that the mortgage records in question predate her appointment and that she has not been charged or convicted of any crime. Both the White House and the Federal Reserve have stated they will abide by the courts' decision, with the dispute potentially reaching the Supreme Court.

Trump clashes with Fed board member Lisa Cook, pushing to oust her

Cook was appointed to serve until the late 2030s, and Trump's bid to fire her marks the first time in 111 years that a president has tried to remove a Fed governor. It comes after Trump was discouraged from firing the Fed chair, Jerome Powell, out of concerns it would damage the Fed's long-held independence. She seems to have had an infraction, and she can't have an infraction. A standoff is brewing between President Trump and economist Lisa Cook. Trump tried to fire her Monday, claiming there is sufficient cause to believe that Cook made false statements on one or more mortgage agreements. Cook fired back that President Trump has no authority to remove her from the independent Federal Reserve Board, and vowed to file suit. We need people that are 100 percent above board, and it doesn't seem like she was. The members of the Fed board have incredible power to steer the economy, voting to raise or lower interest rates in order to stabilize prices and promote job growth. Trump has railed against the Fed's cautious moves for months. The Fed should lower the rate. Ten days ago, a little-known government office called the Federal Housing Finance Agency, run by a Trump ally, issued a criminal referral for Cook, saying she had claimed two different homes as her primary residence. That same agency recently went after two longtime Trump critics, California Senator Adam Schiff and New York Attorney General Letitia James. You have spoken out very strongly for a long time about what you see as the weaponization of government. Is your administration weaponizing government by digging into the mortgage records of officials you don't like? No, they're public. I mean, you can find out those records. You can go check out the records yourself. And you should be doing that job, actually. I shouldn't have to be doing it. If you did your job properly, we wouldn't have problems like Lisa Cook. Removing Cook would give Trump the chance to appoint a board member who shares his view about cutting rates fast. This is unprecedented. It's dangerous. Michael Strain is a top economist at the conservative American Enterprise Institute. The only way you get a credible commitment to low and stable inflation is if the Fed is not taking its cues from elected officials and is instead making interest rate policy based on economic facts and circumstances. Nancy, a question for you that I asked last night on another topic related to the president. Can he do this? What does the law say? Well, John, the Supreme Court actually just affirmed in May that the president can only fire a Fed board member for cause, in other words, for misconduct on the job. And Cook's lawyers are arguing that in this case, there is no cause because she hasn't been charged or convicted for anything. And the mortgage records in question are from 2021, before she was even appointed. Tonight, both the Fed and the president say they're going to abide by whatever the courts decide. And it's possible this could go all the way to the Supreme Court.

Protesters demanding an end to the Gaza war and the return of hostages to their homes took to the streets in Israel on Tuesday ahead of a security cabinet meeting scheduled for the evening.

Tel Aviv-Yafo

Middle East Conflict

Israeli protesters demand hostage deal as cabinet set to meet

Australia accused Iran on Tuesday (August 26) of executing two antisemitic arson attacks in the cities of Sydney and Melbourne and gave Tehran's ambassador seven days to leave the country, its first such expulsion since World War Two.

Council of the City of Sydney

Australia expels Iranian envoy over antisemitic attacks

President Donald Trump announced the removal of Federal Reserve Governor Lisa Cook, the only Black woman to serve on the board. Critics call it an attack on the Fed's independence, while Cook says no legal cause exists for her firing.

Trump says he fired Lisa Cook from Federal Reserve board

U.S. President Donald Trump signed an executive order creating new National Guard units, including a rapid-response force to handle what the administration calls civil disturbances.

White House authorizes creation of rapid-response National Guard units

Billionaire entrepreneur Elon Musk’s artificial intelligence startup xAI sued Apple and ChatGPT maker OpenAI in U.S. federal court in Texas, accusing them of illegally conspiring to thwart competition for artificial intelligence.

Texas

Rise of AI

Elon Musk's xAI sues Apple, OpenAI over competition claims

Strikes on the Nasser hospital in Gaza that left at least 20 people dead, including rescuers, journalists and health-care workers are being met with global outrage. The Israeli military is investigating what Israel Prime Minister Benjamin Netnayahu called a ‘tragic mishap.’

Israeli PM calls deadly strikes on Gaza hospital a ‘tragic mishap’

Kilmar Abrego Garcia is back in ICE custody and is facing deportation to Uganda, the Department of Homeland Security says, after he was released from criminal custody last week.

Baltimore

Abrego Garcia in ICE custody, court blocks immediate deportation

Ukrainian President Volodymyr Zelenskyy said he will meet with the U.S. and other countries this week to discuss a potential meeting with Russian President Vladimir Putin aimed at reaching a ceasefire.

Kyiv

Ukraine Invasion

Zelenskiy say he will meet with U.S., others on potential Putin talks

U.S. President Donald Trump says Chicago could be the next city to see National Guard deployment, sparking strong opposition from Mayor Brandon Johnson and Governor JB Pritzker, who argue crime is already falling and federal intervention is unnecessary.

Chicago

Trump threatens to send National Guard troops to Chicago

Four journalists working with Reuters, Al Jazeera and others were killed in explosions at a Gaza hospital. Gaza officials blame Israeli drone strikes, though CBS News has not independently verified the claims.

Jerusalem

Four journalists reported dead after Gaza hospital blasts

U.S. National Guard troops patrolling the streets of Washington D.C. as part of what President Donald Trump said was his crackdown on crime began carrying weapons on Sunday night, two officials said.

National Guard patrolling Washington DC begin carrying weapons

In a visit to Kyiv, Prime Minister Mark Carney affirmed Canada’s support for Ukraine and committed to sending soldiers if a ceasefire with Russia is reached.

Carney in Kyiv pledges support, possibly troops for Ukraine

The Pickett Fire is growing in California's Napa County, prompting new evacuations as it threatens homes and wineries. The flames, fueled by scorching temperatures and dry conditions, are being battled by hundreds of first responders.

Napa Valley

Evacuations ordered in California as heatwave fuels wildfire

Democrats are pushing back against President Trump's plan to send the National Guard to more cities, including Chicago, New York and Baltimore, as troops continue to patrol Washington, D.C. State and local leaders say they have crime under control.

Democrats slam Trump's plans to send National Guard to more cities

Beef prices are at record highs with the average price of a pound of ground beef topping $6. Lisa Rozner reports on what's causing prices to soar.

Why U.S beef prices are soaring

A defiant Ukraine marked its independence from the former Soviet Union Sunday amid more fighting with Russia. Chris Livesay reports on how world leaders joined in, voicing their support.

Ukraine marks its Independence Day as war with Russia continues

The boats are produced by unknown Turkish companies and are then sent disassembled in multiple shipments to avoid suspicion in what authorities say is for the sole purpose of trafficking migrants across the English Channel.

Sofia

Inflatable boats used for migrant trafficking seized

Less than 24 hours after he was released from jail, Kilmar Ábrego García was told that U.S. immigration officials plan to deport him to Uganda. The Salvadoran national, who has been living illegally in the U.S. since about 2011, was wrongly deported to his home country earlier this year.

Maryland

Kilmar Abrego Garcia told he may be sent to Uganda

Erik and Lyle Menendez remain behind bars, their hopes for release dashed by two separate parole boards more than three decades after murdering their parents. Elise Preston reports.

Los Angeles

Erik and Lyle Menendez denied parole

Tourism in Las Vegas is slumping this summer, costing the city billions. That could signal trouble ahead for the U.S. economy. Andres Gutierrez has new details.

Las Vegas

Las Vegas tourism slumps this summer, signaling trouble for U.S. economy

Texas Republicans took a victory lap after an early morning vote Saturday that sought to give their party an edge during the 2026 midterms. Democrats in Texas plan to challenge the legality of the new congressional map, saying it dilutes the power of minorities.

Austin

Texas Republicans take victory lap after redistricting vote

Israel has called the United Nations' declaration of famine in parts of Gaza an "outright lie," but multiple U.N. bodies, more than 100 humanitarian groups, and several of Israel's own allies have warned for months that the war is causing starvation among civilians.

Israel denies U.N.'s declaration of famine in parts of Gaza

U.S. President Donald Trump says he will impose sanctions on Russia if it fails to reach a peace deal in Ukraine within two weeks. But Ukrainian President Volodymyr Zelenskyy says Russia’s ongoing attacks on his country show that President Vladimir Putin is not interested in peace.

Putin’s not interested in peace talks, Zelenskyy says

Lyle Menendez was denied parole late Friday night following a day-long hearing in California, just one day after his brother Erik's parole appeal was also rejected. The brothers have been in prison since 1996 for killing their parents in what they say was an act of self-defense.

Both Menendez brothers denied parole

At least five people are dead and dozens are injured after a tour bus traveling from Niagara Falls flipped over on the New York State Thruway near Pembroke, New York.

Pembroke

Western New York bus crash kills at least five people

Federal agents searched former Trump adviser-turned-critic John Bolton's home on Friday morning. President Donald Trump denied knowing about the investigation, which is related to his handling of classified documents.

Breakdown