Trump admin updates: Trump plans to issue executive order to require voter ID

A Federal Reserve spokesperson on Tuesday said the central bank will abide by any court decision in the standoff between Federal Reserve Governor Lisa Cook and President Donald Trump.

The spokesperson said Congress directs governors to serve fixed terms and may only be removed by the president "for cause."

"Long tenures and removal protections for governors serve as a vital safeguard, ensuring that monetary policy decisions are based on data, economic analysis, and the long-term interests of the American people," the spokesperson said.

"Lisa Cook has indicated through her personal attorney that she will promptly challenge this action in court and seek a judicial decision that would confirm her ability to continue to fulfill her responsibilities as a Senate-confirmed member of the Board of Governors of the Federal Reserve System. As always, the Federal Reserve will abide by any court decision," they added.

It's unclear if Cook was working Tuesday after Trump's Monday night post that he was removing her from the board. Trump cited unproven allegations of mortgage fraud as the reason for her firing. Cook pushed back that Trump didn't have the authority to remove her and that she was not resigning.

Asked about the matter on Tuesday, Trump said he was prepared for a legal fight with Cook and said he would also "abide by the court."

President Donald Trump on Tuesday responded to Federal Reserve Governor Lisa Cook's attorney saying they will file a lawsuit over his attempt to fire her.

"What is your response? Are you prepared for a legal fight?" a reporter asked the president at his Cabinet meeting.

"Oh sure, always," Trump responded.

Cook's attorney, Abbe Lowell, said in a statement on Tuesday that Trump "has no authority to remove Federal Reserve Governor Lisa Cook. His attempt to fire her, based solely on a referral letter, lacks any factual or legal basis. We will be filing a lawsuit challenging this illegal action."

Trump announced on Monday night that he was removing Cook from the Fed board over unproven allegations of mortgage fraud. "We need people that are 100% above board and it doesn't seem like she was," Trump said on Tuesday.

President Donald Trump was asked about news that broke during his Cabinet meeting on Tuesday: Taylor Swift and Travis Kelce announcing they are officially engaged.

"I wish them a lot of luck," Trump said. "I think he's a great player. I think he's a great guy. And I think that she's a terrific person, so I wish them a lot of luck."

Treasury Secretary Scott Bessent, at Tuesday's Cabinet meeting, briefly spoke about the Federal Reserve.

"The Federal Reserve's independence comes from a political arrangement, between itself and the American public. Having the public's trust is the only thing that gives it credibility. And you, sir, are restoring trust to government," Bessent said as he was called on by Trump to speak.

The comments came one day after Trump said he was removing Federal Reserve Governor Lisa Cook from her post over unproven allegations of mortgage fraud. Cook pushed back, saying Trump doesn't have the authority to fire her and that she is not resigning.

The standoff, which is likely bound for the Supreme Court, is the latest effort by Trump's administration to exert greater control over what Congress intended to be an independent agency insulated from political interference.