A U.S. appeals court declined on Monday to allow Donald Trump to fire Federal Reserve Governor Lisa Cook - the first time a president has pursued such action since the central bank's founding in 1913 - in the latest step in a legal battle that threatens the Fed's longstanding independence.

Fed policymakers expected to cut benchmark interest rate by 25 basis points amid labor market weakness and inflation rising further above the central bank's 2% target.

The decision comes just hours before the central bank’s next meeting begins.

The Federal Reserve is expected to cut its key interest rate Wednesday, but it could be a fraction of the reduction President Donald Trump has demanded.

Ruling finds the Office of Personnel Management unlawfully forced agencies to fire 25,000 probationary staff, requiring corrections to personnel records.

President Donald Trump cannot remove Lisa Cook from the Federal Reserve’s Board of Governors for now, a federal appeals court said in an emergency ruling Monday, just hours before the central bank’s two-day monetary policy meeting was set to kick off.

The survey found that 41% of respondents surveyed believe that the president's actions are directly aimed at eliminating the Fed's independence, with 41% saying they are designed to limit them.

Stocks kick off the week with investors reacting to President Trump's comments on China trade talks. Federal Reserve decision Wednesday set to be week's main event.