Trump says ‘I’ll have to fire’ Fed Chair Powell if he doesn’t step down on time
Powell’s tenure as Fed chairman ends in mid-May, and Trump has repeatedly lashed out at him for not lowering interest rates more aggressively.
“If Powell doesn’t leave on time, I’m going to have to fire her,” Trump told Fox Business.
The president added: “I wanted to fire him.”
Also Read: Trump’s Fed chief nominee faces Senate confirmation hearing next week
The Trump administration has targeted the independent Fed at various levels; He launched an investigation into Powell over allegations of renovation cost overruns at the Fed and tried to oust Fed governor Lisa Cook.
Asked if the Justice Department would drop its investigation into Powell, Trump said: “I’m not playing around. I need to know about this.”
Warsh has a confirmation hearing before the Senate Banking Committee next Tuesday.
But his confirmation faces challenges as some lawmakers criticize the Justice Department investigation as political pressure on the central bank.
Senator Thom Tillis, a member of Trump’s Republican party who sits on the Senate Banking Committee, has vowed to pursue the nomination as long as the investigation is unresolved.
As long as Warsh’s nomination process is halted, Powell can legally continue to serve as Fed chairman.
Also Read: Trump’s legal attack on Jerome Powell underscores his aim to gain complete control over the Fed
Although not unheard of, it is rare for a Fed chairman to remain a board member after his term as chairman ends.
Powell first took over the Fed during Trump’s first presidency in 2018 and was reappointed in 2022 under Democrat Joe Biden.
