Powell has been at the centre of a firestorm since Trump’s second presidency began, with speculation last week suggesting the president was on the verge of attempting to fire the Fed chair.
His term is due to end in May of next year – but he’s been a regular target of criticism from Trump, who’s labeled Powell “Too Late” for leaving rates unchanged this year.
But Trump has distanced himself from reports that he’ll attempt to dismiss Powell, and ruled out the idea again Thursday. “To do that [fire the Fed chair] is a big move and I just don’t think it’s necessary,” he said. “I believe he’s going to do the right thing.”
Trump allies have called for a congressional investigation into renovation costs at the Fed, with Rep. Anna Paulina Luna (R-Fla) referring Powell to the Department of Justice for criminal charges – alleging that he lied under oath about refurbishment of the Fed’s Eccles Building.
Others, including Treasury secretary Scott Bessent, have attempted to pour cold water on the ongoing feud between the pair. “President Trump has repeatedly said he’s not going to fire Chair Powell,” Bessent said on MSNBC this week. “He might like for him to resign, but he’s not going to fire him.”