U.S. stock futures were lower Tuesday, adding to a slide in the major averages to start the week, after President Donald Trump removed Federal Reserve Governor Lisa Cook from the board of the central bank. Dow Jones Industrial Average futures fell 56 points, or 0.1%. S&P 500 and Nasdaq-100 futures were also down 0.1% each. Long-term Treasury yields rose after the Trump move, while short-term yields declined as investors steepened the yield curve on the notion rates may go lower in the short-term, but eventually go higher as a politicized Fed becomes less attentive to inflation.  The U.S. dollar index, which measures the greenback against a basket of major currencies, was last down 0.2%. Trump’s unprecedented move adds to the pressure the president has been putting on the central bank’s independence. By law, a president may only remove Fed governor “for cause.” As a result, it is possible the matter will be challenged in the courts. There are currently six members on the Fed’s board, with one seat vacant after the resignation of Adriana Kugler earlier this month. Removing Cook would leave five members, with non-Trump appointees still holding a majority. However, if Stephen Miran is cleared for the Kugler vacancy and the president is successful in removing Cook, it would give Trump a 4-3 majority. If Fed Chair Jerome Powell leaves his seat voluntarily after his term expires in May, it would give the president a fifth vote. Investors already appeared hopeful about the prospect of lower interest rates coming in September, as hinted at by Powell last week in Jackson Hole, Wyoming. They’re also looking ahead to Nvidia’s earnings report on Wednesday, which could bolster the megacap tech trade following its recent slide. The “Magnificent Seven” stocks rallied Friday, but only after five straight days of losses. “In the immediate term, markets will probably get over the Cook news fairly quickly (assuming this is a discrete event and Trump doesn’t attempt to fire Powell), turning its attention back to Nvidia, the PCE, and jobs, but the Fed’s independence is undeniably being undermined, a process with negative long-term consequences,” said Adam Crisafulli, founder of Vital Knowledge. Trump also said Monday that he plans to impose “substantial” new tariffs as well as export restrictions on chips for countries that do not remove digital taxes. A raft of economic reports is due out Tuesday morning. Investors will parse through releases on the latest durable goods orders and consumer confidence. The Case-Shiller Home Price Index is due out, as is the Richmond Fed Manufacturing Index. Richmond Federal Reserve President Thomas Barkin is also set to speak. Wall Street is coming off a losing session Monday, with investors taking profits after Friday’s big rally. The 30-stock Dow slid 349 points, or 0.8%, while the S&P 500 fell 0.4%. The tech-heavy Nasdaq dropped 0.2%, after rising earlier in the session thanks to Nvidia. The U.S. Treasury yield curve steepened with short-term yields falling and long-term yields rising after U.S. President Donald Trump moved to fire Federal Reserve Governor Lisa Cook from the central bank’s board. The 2-year yield was nearly 2 basis points lower at 3.71%. The 10-year Treasury yield traded 2 basis points higher at 4.296% and the 30-year yield added 4 basis points to 4.9%. Asia-Pacific markets mostly fell Tuesday, as investors weighed U.S. President Donald Trump’s escalatory rhetoric on tariffs and assessed his move to fire Federal Reserve Governor Lisa Cook. Trump reportedly warned of “200% tariffs or something” on China if it does not export rare-earth magnets to the U.S, while also threatening levies on countries that do not remove digital taxes and related regulations. Hong Kong’s Hang Seng index led losses in the region. The benchmark dropped 1.18% to end the day at 25,524.92, while mainland China’s CSI 300 moved down 0.37% to 4,452.59, snapping its four-day winning streak. Investors also assessed the meeting between South Korean and U.S. presidents over fleshing out the trade deal announced last month that stipulated 15% tariffs on the Asian country’s exports to the U.S. The Kospi index closed 0.95% lower at 3,179.36, while the small-cap Kosdaq was up 0.46% to 801.66. In Japan, the Nikkei 225 declined by 0.97% to 42,394.40 while the broader Topix index fell 1.08% to 3,071.99. Australia’s S&P/ASX 200 benchmark dropped 0.41% to 8,935.60. Oil prices fell on Tuesday after surging nearly 2% in the previous session as traders monitor developments surrounding the war in Ukraine and potential disruption to Russian fuel supplies. Brent crude was down 51 cents, or 0.7%, at $68.29 a barrel, having hit its highest since early August in the previous session. West Texas Intermediate (WTI) crude lost 57 cents, or about 0.9%, to $64.23. Gold prices climbed to a more than two-week high on Tuesday, after U.S. President Donald Trump said he was removing Federal Reserve Governor Lisa Cook, a move seen by many as eroding the central bank’s independence and undermining confidence in U.S. assets. Spot gold was up 0.4% at $3,379.05 per ounce after hitting its highest level since August 11 earlier in the session. U.S. gold futures for December delivery rose 0.3% to $3,425.80.