The Supreme Court’s June 2026 5-4 ruling preserved Lisa Cook’s position as Federal Reserve governor by requiring due-process protections and a factual “for cause” showing under the Federal Reserve Act before any removal, distinguishing the central bank from other agencies amid ongoing litigation over pre-appointment mortgage allegations that Cook has denied as inadvertent. This decision, which left the case in lower courts, reinforces statutory independence and limits immediate presidential action despite the administration’s August 2026 notice letter seeking her response. With Cook’s term extending to 2038 and no resolution of the underlying claims, trader-implied odds for near-term departure reflect the procedural and legal barriers that would need to be cleared for any official exit. Key upcoming catalysts include further district-court proceedings and potential additional filings testing the “for cause” standard.