President Trump pushed back on reports that he was preparing to fire Federal Reserve Chair Jerome Powell, despite several outlets indicating he had recently told congressional Republicans he was seriously considering it.
The speculation created fresh uncertainty in financial markets, with analysts closely watching whether Trump would break with over a century of precedent by interfering with the central bank’s independence to influence interest rate policy.
According to a report by The New York Times, Trump had drafted a letter to remove Powell from his post and had privately asked Republican lawmakers for their input.
However, when asked about the reports, Trump downplayed the idea. “We’re not planning on doing it. It’s highly unlikely,” he told CNBC.
Trump has repeatedly criticized Powell in public, accusing him of keeping interest rates too high. The president has made clear he wants substantial rate cuts and has routinely pressured the Fed to lower borrowing costs, despite the central bank’s efforts to remain independent of political influence.