Donald Trump is turning up the heat on the Federal Reserve again. With Jerome Powell still in charge and no rate cut in sight, Trump is done waiting. He wants action. More specifically, he wants a full percentage point rate cut—and a new FED Chair who will deliver. That man might be Kevin Warsh.

Trump’s Growing Frustration With Powell and the FED

Trump has made it crystal clear—he believes Jerome Powell is failing. Despite a solid May jobs report, with 139,000 new hires, Trump isn’t backing off. He says Powell’s refusal to cut rates is hurting the U.S. economy. On Truth Social, he blasted the current FED Chair, calling him a “disaster” who is “costing our Country a fortune.”

During a recent face-to-face, Trump told Powell he was making a huge mistake. The former president wants lower borrowing costs to boost economic growth. He believes other central banks, like the European Central Bank, are acting boldly while the FED stalls. In his view, Powell is too slow, too cautious, and too costly.

Kevin Warsh: The Trump-Backed Favorite for the FED

Enter Kevin Warsh, a former FED Governor who’s quickly emerging as Trump’s top pick. Warsh served from 2006 to 2011 and is well-connected in policy circles. Though he hasn’t made any public statements, Trump’s praise for him speaks volumes. “He’s very highly thought of,” Trump said.

Data from Polymarket shows a 24% chance Warsh will replace Powell—if an announcement comes this year. Trump says his decision is “coming out very soon.” While Powell’s term runs through 2026, Trump doesn’t want to wait. He’s signaling a potential shift in the FED’s leadership well before that.

Why Trump Wants a Rate Cut Now, Not Later

Despite strong labor numbers, Trump is demanding a full one-point rate cut. He says it’s necessary to lower debt costs and keep the economy strong. Other countries, he argues, are cutting rates aggressively, and the FED should follow suit. He calls it “rocket fuel” for growth.

Even though market data suggests no cut is likely this month, Trump isn’t backing down. He believes short- and long-term debt are both too expensive. For him, a lower rate is not just smart policy—it’s urgent. And he wants someone like Warsh, who will act quickly and listen to presidential guidance.

FED in the Crossfire: Politics and Policy Collide

Trump’s push has put the FED at the center of a political storm. He’s not just critiquing policy—he’s threatening real change. For the first time, he’s naming a specific successor. That raises questions about FED independence. A recent Supreme Court ruling said the president can’t just fire the FED Chair. Still, Trump is making it clear: he’ll do whatever he can to bring about change.

Inside the White House, the message is the same—Powell is too slow. Trump says the economy is thriving despite Powell, not because of him. And unless Powell moves fast, Trump says Warsh could be stepping in to lead the FED into a new era of aggressive rate cuts.

The Clock is Ticking: Decision Looms Over FED Leadership

Trump says the decision on the next FED Chair is coming “very soon.” Whether it’s this year or early in a new term, he’s laying the groundwork. Warsh remains silent but in the spotlight. Powell, meanwhile, faces increasing pressure.

One thing is clear: Trump sees interest rates as key to economic momentum—and political success. If Powell doesn’t deliver, Trump is ready to make the switch. And Kevin Warsh looks like his guy. The FED may be independent, but in Trump’s world, loyalty and speed matter more.