President Donald Trump said Tuesday he has “no intention” of attempting to fire Federal Reserve Chair Jerome Powell, despite his angry social media posts directed at the central bank leader in recent days.
Speaking to reporters, Trump said he “never” had any intention of removing the Fed chief, adding “the press runs away with things.” But he reiterated his belief that Powell should lower interest rates.
“This is a perfect time to lower interest rates,” Trump said. “If he doesn’t, is it the end? No. It’s not. But it would be good timing. It could have taken place earlier, but I have no intention to fire him.”
Trump has repeatedly called on the Fed to cut borrowing costs, which would help boost the economy ahead of a potential hit to growth from tariffs, though recent data suggest the economy was doing well as of March.
Trump’s fury with Powell burst into public view on Thursday morning, when he said in a post on Truth Social that his “termination cannot come fast enough!” He continued his complaints Monday morning, calling Powell “a major loser.” Those comments led to further drops in already-jittery markets and led to a rise in longer-term U.S. government debt yields and a drop in the value of the dollar.
POLITICO reported that Treasury Secretary Scott Bessent has repeatedly cautioned White House officials that any attempt to fire Powell would risk destabilizing financial markets, reinforcing what Trump already knows. White House allies have not taken Trump’s missives as a sign that he was intending to remove him, but instead as an effort to position Powell as a scapegoat, with tariffs expected to lead to higher prices and slower growth. The posts also seemed aimed at increasing pressure on Powell to capitulate.