US President Donald Trump has escalated his attacks on Jerome Powell, calling for the Federal Reserve chair to step down immediately. In a post on his Truth Social platform, Trump stated, “Too Late should resign immediately!!!” and shared a news article about a federal housing regulator calling for an investigation into Powell’s testimony about renovations to the central bank’s headquarters.
Despite nominating Powell for the position during his first term, Trump has repeatedly criticized him for not cutting interest rates. However, it is unclear if the president has the authority to remove him from the post.
While Trump has previously stated he has “no intention of firing him,” he continues to pressure the Federal Reserve to lower interest rates in order to boost economic growth.
In response to Trump’s tariff policies, Powell stated that the Fed would have cut rates already this year if not for their impact. When asked if rates would have been cut without the tariff announcement, Powell responded, “I think that’s right.”
The US Federal Reserve declined to comment on Trump’s remarks. Powell has previously stated that he would not step down if asked by the president, as it is not permitted under law for the White House to force him out.
According to a 1935 US Supreme Court ruling, board members of independent federal agencies, such as the Federal Reserve, can only be removed “for cause.” However, Trump has a history of challenging political norms and has fired some independent regulators, leading to legal challenges.
On Wednesday, Federal Housing Finance Agency director Bill Pulte, who has previously criticized Powell, called for him to be investigated. Pulte posted on X, “I am asking Congress to investigate Chairman Jerome Powell, his political bias, and his deceptive Senate testimony, which is enough to be removed ‘for cause’.”
Last week, Powell defended the Fed’s headquarters renovation costs and features, stating that reports were “misleading and inaccurate.”
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