Thu, 03 Jul 2025

Thu, 03 Jul 2025 Trump calls on US central bank head to quit immediately

The president has repeatedly criticised Jerome Powell for not cutting rates but has sent mixed signals about removing him from the role.

* US President Donald Trump has called for Jerome Powell, chair of the Federal Reserve, to resign immediately.
* This comes after Powell testified that the Fed would have cut interest rates if not for the impact of Trump's tariff policies.
* Trump wants lower interest rates to boost economic growth and has repeatedly criticized Powell for not cutting them.
* The US President nominated Powell to be Fed chair during his first term but now claims he is "too late" to resign.
* It is unclear whether Trump has the authority to remove Powell from the post, as board members of independent agencies like the Federal Reserve can only be forced out "for cause".
* Powell was renominated by then-President Joe Biden and his current term is set to end in May 2026.
* A US federal housing regulator has called for an investigation into Powell's testimony about renovations to the Fed's Washington headquarters.
* Trump has previously criticized Powell for not cutting interest rates, but had said he had "no intention of firing him" earlier this year.
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