In a recent statement, Trump has clarified that while he has considered the possibility of removing Federal Reserve Chair Jerome Powell, it is "highly unlikely" he will follow through with such a decision.
Trump Downplays Possibility of Firing Fed Chair Jerome Powell
Trump Downplays Possibility of Firing Fed Chair Jerome Powell
President Trump expresses low probability of dismissing Powell despite previous tensions over interest rates.
Trump made headlines after discussing the idea of firing Powell with lawmakers, igniting concerns in the stock market and among investors. However, following an immediate market reaction, Trump sought to minimize the impact of his comments, insisting he was "not planning on doing anything." His criticisms of Powell - whom Trump appointed in 2017 - previously escalated, emphasizing a growing frustration with the Fed's interest rate policies.
In his recent remarks, Trump referred to Powell as a "knucklehead" and accused him of mishandling various aspects within the Fed, including property renovations. While Trump acknowledged the revival of discussions regarding Powell's potential dismissal, he indicated that he would only consider it under severe circumstances, such as fraud.
Federal Reserve Chair Jerome Powell’s term is set to conclude in May of the following year, after which he may continue to serve as a governor until 2028. Despite the rumors surrounding his position, Powell has consistently maintained that he cannot be removed simply for policy disagreements, stressing the Fed's independence from the White House.
The administration is reportedly in the process of identifying potential successors, with Treasury Secretary Scott Bessent and other economic advisors like Kevin Hassett and Kevin Warsh rumored to be in contention. It remains to be seen, however, how the unfolding situation may further impact U.S. economic policy in the near future.
In his recent remarks, Trump referred to Powell as a "knucklehead" and accused him of mishandling various aspects within the Fed, including property renovations. While Trump acknowledged the revival of discussions regarding Powell's potential dismissal, he indicated that he would only consider it under severe circumstances, such as fraud.
Federal Reserve Chair Jerome Powell’s term is set to conclude in May of the following year, after which he may continue to serve as a governor until 2028. Despite the rumors surrounding his position, Powell has consistently maintained that he cannot be removed simply for policy disagreements, stressing the Fed's independence from the White House.
The administration is reportedly in the process of identifying potential successors, with Treasury Secretary Scott Bessent and other economic advisors like Kevin Hassett and Kevin Warsh rumored to be in contention. It remains to be seen, however, how the unfolding situation may further impact U.S. economic policy in the near future.
