00:00President Trump says she's fired, but Fed Governor Lisa Cook says she's not going anywhere.
00:06The showdown now brewing at the Central Bank.
00:09Plus, Trump buys a bigger role for the National Guard.
00:12Illinois' governor draws the line.
00:14It is illegal. It is unconstitutional. It is un-American.
00:21And Donald Trump says burn a flag, go to jail.
00:24Now even some on the right are firing back.
00:26The stories that matter, clear and credible, from across the country to around the world.
00:34These are your unbiased updates from Straight Arrow News.
00:40Good morning, I'm Craig DeGrelli.
00:42A new showdown is brewing this morning between President Trump and the Federal Reserve.
00:47The governor of the Federal Reserve, Lisa Cook, is refusing to step down,
00:51defying President Trump's announcement on Truth Social that he fired her.
00:55Trump says cause exists because Cook is under federal investigation into alleged mortgage fraud,
01:02along with Democratic Senator Adam Schiff and New York Attorney General Letitia James.
01:07But Cook has not been charged with any crime.
01:10And under the Federal Reserve Act, governors can only be removed for cause,
01:14meaning actual misconduct or proven wrongdoing.
01:18Her lawyer criticized the president, calling his move bullying and without any legal basis.
01:23Cook released a statement of her own, saying,
01:26President Trump purported to fire me for cause when no cause exists under the law,
01:31and he has no authority to do so.
01:33I will not resign.
01:34Instead, she says she will continue to carry out her duties.
01:38The stakes are high.
01:39The Fed is designed to operate independently,
01:42making decisions that impact interest rates, markets, and your wallet.
01:46A court battle over whether a president can remove a Fed governor could shake that independence
01:51and possibly rattle the economy.
01:53President Trump is doubling down on his crime crackdown,
01:57signing an executive order Monday that gives the Pentagon a larger role in domestic law enforcement.
02:03The order formalizes new specially trained National Guard units in Washington, D.C. and every state,
02:09a quick reaction force that can be deployed nationwide to quell civil disturbances.
02:14The White House calls it a common-sense measure to make the Capitol safe and beautiful again.
02:20Critics call it something else, a move that blurs the line between military and law enforcement,
02:25something Trump addressed directly.
02:27And they say, we don't need him.
02:29Freedom, freedom.
02:29He's a dictator.
02:30He's a dictator.
02:31A lot of people are saying maybe we like a dictator.
02:34I don't like a dictator.
02:36I'm not a dictator.
02:37I'm a man with great common sense and a smart person.
02:41And when I see what's happening to our cities, and then you send in troops, instead of being praised,
02:48they're saying you're trying to take over the republic.
02:50Donald Trump is now threatening to send guard troops to Chicago next,
02:54saying he could solve the city's crime issues in a week.
02:57But Democratic leaders, including Illinois Governor J.B. Pritzker,
03:01call it un-American and a misuse of the military for politics.
03:04Donald Trump wants to use the military to occupy a U.S. city, punish his dissidents,
03:12and score political points.
03:15If this were happening in any other country, we would have no trouble calling it what it is,
03:20a dangerous power grab.
03:23Legal scholars say the order raises serious questions since the Posse Committus Act of 1878,
03:28which normally bars federal troops from policing American streets and restricts the use of the
03:35army or air force for domestic law enforcement.
03:39For now, more than 2,200 guard troops remain deployed in Washington,
03:43many already carrying their service weapons on patrol.
03:47And another executive order from President Trump is sparking backlash.
03:51This time, it's from his own side of the aisle.
03:54Trump signed an order Monday directing the Justice Department
03:57to prosecute people who burned the American flag.
04:00It also calls on Attorney General Pam Bondi to challenge the Supreme Court's 1989 ruling
04:05that flag burning is protected speech.
04:08But conservative commentators quickly pushed back.
04:11Radio host Dana Loesch called flag burning vile,
04:15but says the government has no right to control speech or expression.
04:19Commentator Eric Erickson wrote,
04:21It is well-settled constitutional law
04:23and that the executive does not get to create crimes.
04:27Colin Wright, who said he'd never burn a flag,
04:30argued that banning it is more contrary to American values than the act itself.
04:35And radio host Jesse Kelly warned the order had him,
04:38quote,
04:39as close as I'll ever be to lighting one on fire.
04:42The U.S. Supreme Court ruled decades ago
04:44that flag burning is a form of symbolic speech.
04:47Even the late Justice Antonin Scalia, a conservative icon, was in the majority.
04:53Critics say President Trump's order is more symbolic than substantive,
04:57likely to face swift legal challenges and reignite the free speech debate.
05:01The House Oversight Committee is turning up the heat on the Jeffrey Epstein estate,
05:06issuing a subpoena for key documents.
05:08Among the records lawmakers want, Epstein's infamous birthday book,
05:12compiled by Jelaine Maxwell for his 50th birthday.
05:15The Wall Street Journal previously reported the book included letters,
05:20one allegedly from Donald Trump, years before he was president.
05:24Trump has denied writing it and is suing the journal for defamation.
05:28The subpoena also demands, quote,
05:30any document that could be reasonably construed as a potential client list
05:34tied to sex acts or trafficking.
05:37Committee chair James Comer says the estate appears willing to cooperate.
05:41The deadline to turn over documents is September 8th.
05:43A new redistricting battle is brewing between California and the federal government.
05:49President Trump says the Justice Department will sue over Governor Gavin Newsom's plan to reshape the map.
05:56The fight stems from Texas, where Republicans just pushed through a new congressional map,
06:01adding five GOP seats ahead of the 2026 midterms.
06:05California Democrats responded with Proposition 50, signed into law last week by Newsom,
06:11creating five more Democratic-leaning districts.
06:14Donald Trump, who cheered on Texas, now calls California's plan illegal and says a DOJ lawsuit is coming, quote,
06:22pretty soon.
06:23Newsom fired back with two words on social media.
06:26Bring it.
06:26Republicans in California also filed an emergency petition on Monday asking the state Supreme Court
06:33to block a special November election on the proposal,
06:37arguing it violates the state constitution and undercuts the Independent Redistricting Commission approved by the voters.
06:43Finally this morning, summer is winding down in many parts of the country.
06:48School is back in session.
06:49Fall is in the air.
06:50And here's a sure sign.
06:52Starbucks Pumpkin Spice Latte is back on the menu.
06:56The unofficial kickoff to pumpkin spice season.
06:59If you think it's too soon, keep in mind it actually dropped later than last year, by just a few days.
07:05And Starbucks is not alone.
07:07Dunkin' rolled out its fall lineup a few days ago.
07:10And Krispy Kreme, they've been offering a summer of pumpkin spice for two weeks now.
07:16By the way, my wife and I went to Dunkin' on Sunday after church.
07:20We ordered a large, iced pumpkin coffee, one each.
07:24It was delicious.
07:26A sign of the season for sure.
07:28Gotta love fall.
07:30Before we head out, here's what we're tracking today.
07:32This morning, Transportation Secretary Sean Duffy will announce action against three states
07:37for failing to enforce English proficiency rules for truck drivers.
07:41We'll monitor that.
07:43Then, at 11, President Trump meets with his cabinet at the White House.
07:46At 12.30, South Korean President Lee Jae-myung joins Duffy and the U.S. Labor Secretary
07:52at the Philadelphia Shipyard to christen a new training vessel for the Maine Maritime Academy.
07:58And this afternoon, the Democratic National Committee kicks off its summer meeting.
08:02Coffee wakes you up, but we wake up your brain.
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08:11Go to san.com slash newsletters.
08:14Those are your Unbiased Updates for this Tuesday.
08:16We'll see you back here tomorrow.
08:17For all of us here at Straight Arrow News, I'm Craig DeGrelli.
08:20Have a great day.
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