Trump's impatience grows with Powell over fed rate policies
The President of the United States, Donald Trump, admitted on Thursday that the chairman of the American Federal Reserve (Fed), Jerome Powell, cannot be swiftly removed from his position. Trump expressed impatience with Powell's policy, particularly regarding the absence of interest rate cuts.
Jerome Powell's term as Fed Chairman ends in May 2026. After Trump's victory in the presidential elections, Powell assured that he would not vacate his position, even if the new administration attempted to pressure him on this matter.
Trump speaks out on Fed Chairman
On Thursday, a post was published on Trump's profile on the Truth Social platform, clearly indicating his impatience with the actions of the central bank's president. According to the US president, the Fed Chairman "should have lowered Interest Rates, like the ECB, long ago, but he should certainly lower them now."
"Powell’s termination cannot come fast enough!" added Trump.
Bloomberg noted that when asked to explain this post, the White House did not respond to a request for comment. Following the presidential elections in November, Powell stated that removing him or any other Fed representatives before the end of their terms would be illegal.
Reuters reminds us that the central bank’s interest rate in the United States has not changed since December of the previous year. Trump criticized Powell following his Wednesday remarks, in which the Fed Chair emphasized that the central bank’s independence is broadly acknowledged and backed by key decision-makers in Washington and Congress.
In his speech on Wednesday, Powell addressed the market turbulence in recent weeks, attributing it to "dynamic changes" in the administration’s trade policy, rather than signals of issues that would necessitate Fed intervention. This speech followed Trump's suspension of some tariffs.
