According to Politico, as reported by ChainCatcher, President Donald Trump is angry with Federal Reserve Chairman Jerome Powell because Powell shows no signs of cutting interest rates soon. In a Truth Social post on Thursday morning, Trump wrote that he hopes Powell's departure comes "the sooner the better!"
However, for now, Powell's position seems relatively secure.
During his first term, Trump had considered firing Powell—a move legally questionable—and attempting to do so again could potentially escalate market instability. Currently, markets are already volatile due to recent tariff fluctuations. Two sources close to the White House, who requested anonymity due to the sensitive nature of the discussion, revealed that Treasury Secretary Scott Bessent has repeatedly emphasized this point internally. Trump himself is aware of the gravity of the situation. Investors' confidence that the Federal Reserve will make decisions based on economic trends rather than short-term political pressure is crucial to maintaining the United States' reputation in the global financial system.
White House allies believe that Trump's Thursday morning post is more an attempt to undermine Powell's position and set him up as a potential scapegoat for future economic issues, rather than an immediate move to fire him. Of course, nothing is certain with Trump, and his allies warn that he could change his mind in an instant and seriously pursue Powell's removal.
The White House spokesperson referred to Trump's Truth Social post when responding to related inquiries. The U.S. Treasury did not immediately respond to a request for comment.
