Trump Reportedly Plans to Fire Fed Chair Powell, Despite Denials and Legal Questions

Reports indicate that President Donald Trump informed Republican lawmakers of his intention to remove Federal Reserve Chair Jerome Powell, according to a senior White House official cited by CNBC. The official stated that the President inquired about the lawmakers' opinions on firing Powell, and they reportedly expressed support for the action. The official further claimed that Trump signaled he would likely proceed with the dismissal.

However, later that day, Trump denied the reports. He stated that there were no plans to fire Powell, while also acknowledging that he doesn't rule out any possibilities. He added that such an action was highly unlikely.

These comments followed a series of criticisms from Trump directed at the Fed Chair, primarily stemming from the President's desire for lower interest rates. Recent attacks included White House officials criticizing Powell over the cost of renovations to the Fed's headquarters.

Legal precedent suggests that the President may not have the authority to fire Federal Reserve officials. Treasury Secretary Scott Bessent expressed skepticism that Trump would take such action. However, U.S. Representative Anna Paulina Luna of Florida indicated on social media that Powell's firing was imminent, citing a reliable source. Powell himself has previously stated that the law does not permit the President to remove him from his position. If the firing were to occur, it would be unprecedented in U.S. history.