Trump Calls For Fed Chair Powell’s ‘Termination’ Over His Reluctance To Cut Rates

President Donald Trump on Thursday renewed his talk of firing the President of the Federal Reserve, Jerome Powell, when the central banker indicated that he was not in a hurry to cost less borrowing, as Trump has long demanded.

Trump attacked Powell in a social media post after Powell’s comments on Wednesday that Trump’s big-to-up-tariff’s spate raised prices and slowed down the economy and created a “challenging” landscape for the fed. Powell said that Central Bank officials hope that Trump has imposed tax to increase the prices of this month and is not determined that the price increases changes in a longer period of inflation.

“Powell’s termination cannot come very fast!” Trump has written in a post on Truth Social.

Trump’s call for “termination” increased his long -running attacks on Powell and enhanced his efforts to make more impact on the Federal Reserve, which is outside the direct control of the White House.

Trump has long pressed Powell and Fed to reduce the benchmark interest rate of the Central Bank, which affects the cost of lending on all types of loans. Fed has kept the rate higher than normal since 2022, when it has increased rates to slow down the economy and increase rates to increase inflation.

Fed is a unique government institution that was established to become independent so that it could take monetary policy decisions based on economic strategy rather than political ideas.

Trump has tested that freedom threatened to remove Powell before the end of his term in May 2026. Trump appointed Powell for his current position in 2018, and former President Joe Biden gave Powell a four -year term in 2022. In both conditions, Trump often criticized Powell and pushed them to low interest rates. Lower rates may promote the economy and can benefit Trump politically politically by preventing inflation in a long time.

Powell did not voluntarily step

However, any step to firing Pavel would be a reversal for Trump, who said in December that he had no plans to remove the fed chair. It will also set up a legal clash: Powell has said that if Trump asked, he would not resign from his post, and it is illegal for the President to set fire to the Fed chair.

This question can eventually be decided by the Supreme Court, which according to A. Wall Street Journal In view of Wednesday’s report, a case is being raised whether the President has the right to set fire to the heads of government agencies which are first considered independent of White House control.

“I don’t think this decision would apply to the Fed, but I don’t know,” Powell said about the case on Wednesday. “But this is a situation that we are monitoring carefully.”

The dispute occurs at an important time for the Central Bank’s double mission, so that interest rates can be kept high to keep inflation low, but not so much that they stop the job market. This task can be complex or impossible if causes “stagflation” in Trump’s tariff.

Trump stated that Powell was “too late and wrong”, digging on the track record of the central bank on the management of inflation. Trump and other critics, even Powell, have said that, in Hindite, the Fed 2022 was very slow to increase the interest rates, when inflation started increasing as the economy reopened.

Trump cited recent economic data to argue that now is the time to cut rates in the fed. Inflation in March unexpectedly retreated due to a fall in oil and gas prices. Cooling inflation would usually motivate the Fed to lower interest rates, but the Fed authorities expected Trump’s import taxes to increase prices and potentially shut down a new round of high inflation.

Trump also cited the recent interest rate cut of European Central Bank, suggesting that Fed is out of step with its European counterpart.

Trump wrote in the post, “Oil prices are down, grocery accessories (even eggs!) Are below (SIC), and the USA is rich in tariff.” “To reduce the interest rates long ago, such as ECB, long ago, but he must definitely reduce them now.”

Consumer value for grocery items for eggs, actually increased in March according to data from Labor Statistics Bureau in March. Wholesale prices for eggs have fallen, stores can follow the suit suggesting prices on shelves.

Senior editor Nisha Gopalan contributed to this story.