WASHINGTON: U.S. President Donald Trump said he would love for Federal Reserve Chair Jerome Powell to resign but acknowledged that many have said it would disrupt the markets if the president were to remove him.
Trump made the comments in an interview with the Real America’s Voice network aired on Wednesday.
Why it’s important
Trump has criticized Powell on an almost daily basis in recent days for being “too late” to cut interest rates.
The White House and some Republicans have recently expressed criticism of cost overruns in a $2.5 billion renovation of the Fed’s historic headquarters in Washington.
The criticism has confirmed the view that the Trump administration is actively exploring those costs as a possible avenue to try to fire the Fed chief well before his term as chair ends in May 2026.
There has been no evidence of fraud, and the Fed has pushed back on criticism of its handling of the project.
Key quotes
“I’d love if he wants to resign, that would be up to him. They say it would disrupt the market if I did,“ Trump said in the interview in which he later reiterated criticism related to the costs of the renovation of the Fed’s headquarters.
A Fed spokesperson had earlier pointed to Powell’s repeated statements that he has no intention of resigning and would not if asked to do so.
Context
Powell, who was nominated by Trump in late 2017 to lead the Fed and then nominated for a second term by then-President Joe Biden four years later, has said he intends to serve out his term as Fed chief, which ends on May 15.
Trump said earlier on Wednesday he is not planning to fire Powell- REUTERS
