Trump ramps up pressure on Jerome Powell amid Fed showdown

Donald Trump has escalated his confrontation with Jerome Powell, warning he may remove him not only as head of the Federal Reserve but also from its Board of Governors if Powell does not step down completely when his term as chair expires on May 15.

Speaking in an interview with Fox Business, Trump indicated he had previously resisted dismissing Powell to avoid controversy, but now suggested he is prepared to act. He also pointed to an ongoing investigation into the central bank’s building renovation project—reportedly overseen by Jeanine Pirro—as evidence he claims could demonstrate Powell’s “incompetence.”

The intensifying pressure campaign risks complicating the nomination of Kevin Warsh as Powell’s successor, particularly if Senate confirmation becomes entangled in the dispute. Trump appears keen to secure broader influence over the Fed’s seven-member board, where appointments remain limited and one current seat is already effectively vacant.