Trump supposes Powell should resign immediately

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Forex humour

16-07-2025 14:03

Trump supposes Powell should resign immediately

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Trump supposes Powell should resign immediately

Once again, storm clouds are gathering over Jerome Powell, the Chair of the Federal Reserve. The White House is reportedly exploring a critical legal question: Does President Donald Trump have the authority to dismiss the Fed chair? This speculation intensified following remarks from Kevin Hassett, the president’s chief economic advisor. Powell may need to brace himself.

According to Hassett, the Trump administration is reviewing a recent Federal Reserve renovation project. The initiative previously sparked concerns among lawmakers over a reported $700 million cost overrun, eventually pushing the total bill to a staggering $2.5 billion.

Hassett emphasized that any decision by the President to dismiss Powell over the budget controversy would depend on multiple factors. Hassett noted that Powell’s dismissal was under consideration. If there is a solid justification, Trump could move forward with it.

His comments came shortly after criticism from the Director of the White House Office of Management and Budget, who condemned the Fed’s showy renovation and voiced dissatisfaction with Powell’s responses regarding the $2.5 billion project.

President Trump has long been critical of Powell for refusing to lower interest rates further. “Jerome Powell is very bad for our country,” Trump told reporters at Joint Base Andrews in Maryland on Sunday. “We should have the lowest interest rate on Earth, and we don’t. And we know he should do it. And yet he’s spending $2.5 billion rebuilding the Fed, the Federal Reserve buildings.”

Amid the mounting criticism, some analysts believe Trump might replace Powell sooner than anticipated. Such a move, they warn, could seriously undermine the Fed Chair’s authority. Powell’s current term is set to expire in May 2026.

It is worth noting that Kevin Hassett is now seen as a leading contender to succeed Powell. Sources suggest that Hassett even discussed the possibility of taking over the role with Trump last month.

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Forex humour