US President Donald Trump has lashed out at Federal Reserve Chair Jerome Powell for not cutting interest rates, saying he could replace the central bank chief if he wants to.
Trump told reporters on Thursday that he does not think Powell is doing his job, accusing him of always being “too late, too slow.”
The president said he is not happy with Powell, adding that “if I want him out, he’ll be out of there real fast.”
Trump is stepping up criticism of Powell as he remains cautious about accelerating rate cuts and defends the central bank’s independence.
Earlier this month, Trump took to social media to urge Powell to cut interest rates, saying that energy prices are down, and even egg prices are down.
Trump also wrote in a social media post on Thursday that the Fed chair is “always TOO LATE AND WRONG,” reiterating his demand for rate cuts.
Powell delivered a speech on Wednesday and expressed an intention to decide monetary policies after assessing the impact of the Trump administration’s policies on the economy.
He said, “The level of tariff increases announced so far is significantly larger than anticipated,” adding that “The same is likely to be true of the economic effects, which will include higher inflation and slower growth.”
Meanwhile, the Wall Street Journal reports that US President Donald Trump has for months privately discussed firing Federal Reserve Chair Jerome Powell before his term ends in May 2026.
The major US newspaper said on Thursday that Trump spoke with former Fed Governor Kevin Warsh about firing Powell and possibly selecting Warsh as his replacement.
Warsh reportedly advised against firing Powell, arguing that Trump should let the central bank chief complete his term without interference.
The report said, “Any effort by Trump to fire Powell would almost certainly end up before the Supreme Court,” and “any prospect that the Fed chair could be sacked over a policy dispute would likely tank financial markets.”
US Treasury Secretary Scott Bessent said in an interview with Bloomberg on Tuesday that the Fed’s independence in deciding monetar/y policy is a “jewel box that has got to be preserved.”
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