Trump Likely To Fire Fed Chair Powell Soon, White House Official Says

In his second term as US President, Donald Trump has revived a familiar feud, this time with potential consequences for global financial stability. The target: Jerome Powell, Chair of the US Federal Reserve. Trump has suggested, both publicly and privately, that he is considering removing Powell from office over issues including a multibillion-dollar renovation of the Fed’s headquarters in Washington, DC.

The possibility has reignited a legal and political debate in Washington: Can Trump legally fire the Federal Reserve Chair before his term ends? And if he does, would it undermine central bank independence or market confidence?

Earlier this month, Trump told a group of House Republicans that he was considering firing Powell and even showed them a draft termination letter, according to a CBS News report. The meeting reportedly took place at the Capitol Hill Club in Washington.