President Donald Trump has again threatened to fire Jerome Powell if the Federal Reserve Chair decides to stay on the central bank’s governing board after his term as chair expires next month.
“Well then I’ll have to fire him, OK?” Trump told Fox Business in an interview that aired Wednesday when reminded that Powell has said he won’t leave the Fed while the Justice Department investigates a $2.5 billion renovation project at the bank.
Trump has for months wanted to remove Powell as chair of the Fed, saying he has been too slow in orchestrating interest rate cuts that would give the U.S. economy a quick boost. Powell has said the investigation is a pretext to undermine the Fed’s independence to set rates. A federal prosecutor last month admitted that the investigation into the renovations had turned up no evidence of a crime.
Powell’s term as Fed governor expires May 15, but his term as a Fed board member lasts until January 2028.
Trump has nominated former Fed official Kevin Warsh to succeed Powell. Yet Warsh’s confirmation has been delayed. Sen. Thom Tillis, a North Carolina Republican, has said he won’t vote to confirm any Fed nominees until the investigation is dropped.
The Associated Press contributed to this report.