White House economic adviser Gary Cohn stepping down

Top White House economicadviser Gary Cohn, a Wall Street banker who opposes hefty steeland aluminum tariffs planned by U.S. President Donald Trump, announced on Tuesday that he was resigning.

"It has been an honour to serve my country and enactpro-growth economic policies to benefit the American people, inparticular the passage of historic tax reform. I am grateful tothe president for giving me this opportunity and wish him andthe administration great success in the future," Cohn said in astatement issued by the White House.

• Republicans confront Trump over steel tariffs, fearing trade war

His departure as director of the National Economic Councilcame after a little more than a year on the job.

Following the news of Cohn's departure, the U.S. dollarweakened, while an exchange-traded fund tracking the broadmarket S&P 500 dipped one per cent.

Trump's announcement last week of his plans to impose thetariffs sent U.S. stock prices tumbling and came after anintense debate within the White House between Cohn and otheradvocates of free trade, on one side, and protectionist adviserssuch as Peter Navarro on the other, White House sources said.

Cohn, a former president and chief operating officer ofinvestment bank Goldman Sachs, was seen as a bulwarkwithin the White House against protectionist policies.Business lobbyists frequently cited Cohn as theirstrongest ally in the White House.

"Gary Cohn is one of the true Wall Street all stars behindthe Trump tax plan. He will be missed. We thought he mightswitch mid-term and become the treasury secretary. He is thatgood," said Andrew Brenner, the head of international fixedincome at NatAlliance Securities LLC.

The White House statement saidCohn'sdeparture date is to be determinedbut will take effect in a few weeks.

Trump said on Twitter that his administration will be "making a decision soon" on the appointment of a new chief economic adviser.

"Many people wanting the job will choose wisely," Trumpsaid.