Trump, Powell and Fed
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President Donald Trump has escalated his pressure campaign against Federal Reserve Chair Jerome Powell, leaving the door open to ousting him for “fraud,” he said last week. That raises questions about what would happen if Trump actually tires to fire the central bank leader.
Trump and the Trump administration have increasingly turned their fire on Powell and his leadership of the central bank.
The Trump administration is toying with removing Jerome H. Powell as chair of the Federal Reserve, accusing him of mismanaging a multibillion-dollar update to its Washington headquarters.
The President has repeatedly criticized Powell for not cutting interest rates, and he escalated his attacks on the Fed chair last week.
If President Donald Trump were to fire Federal Reserve Chair Jerome Powell, it could have unintended and severe consequences that reverberate throughout the US economy and global markets.
A firing of Jerome Powell by President Trump would likely open up a legal war never before seen in the US, without any guarantee of a courtroom victory for the White House.
The Fed is self-funding and doesn’t need outside approval for building projects, according to the law that created the central bank.