U.S. President Donald Trump has intensified his criticism of Federal Reserve Chair Jerome Powell, calling for him to resign “immediately.”
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In a post on Truth Social, Trump wrote, “‘Too Late’ should resign immediately!!!”, referencing Powell’s nickname and sharing an article about a federal housing regulator’s call for an investigation into Powell’s Senate testimony regarding costly renovations at the Fed’s Washington headquarters.
Though Trump nominated Powell as Fed Chair during his first term, their relationship has grown tense, particularly over Powell’s reluctance to cut interest rates. Trump argues that rate cuts are necessary to boost economic growth.
On Tuesday, Powell responded indirectly, stating that the Federal Reserve might have lowered interest rates already, if not for the economic effects of Trump’s tariff policies. When asked at a central bankers’ forum in Portugal whether U.S. rates would have been cut absent those tariffs, Powell replied, “I think that’s right.”
The Federal Reserve declined to comment on Trump’s latest remarks.
Despite Trump’s demand, Powell has previously asserted that the president lacks the authority to remove him. He told reporters that he would not step down if asked and emphasized that U.S. law only permits the removal of Fed board members “for cause,” as established by a 1935 Supreme Court ruling.
Trump has often tested political boundaries, including attempting to remove independent regulators, actions that have sparked legal challenges.
The call for Powell’s resignation gained additional traction on Wednesday when Bill Pulte, Director of the Federal Housing Finance Agency, urged Congress to investigate Powell. In a post on X, Pulte accused Powell of political bias and giving “deceptive” testimony to the Senate.
Last week, Powell defended the Fed’s renovation plans, dismissing reports of excessive costs as “misleading and inaccurate in many, many respects.”
