U.S. President Donald Trump is expressing increasing dissatisfaction with Federal Reserve Chairman Jerome Powell, and just before the weekend, he informed reporters aboard Air Force One that a decision regarding the next Fed chairman will "be made soon."
Call for interest rate cuts: Trump criticizes Powell, hints at a Fed leadership overhaul
Since taking office in January 2025, Trump has continuously criticized Powell, frequently asserting that the central bank director is often "too late." Back in August 2024—before securing the presidency—Trump stated in a press conference at Mar-a-Lago that U.S. presidents should have influence over Federal Reserve policy. Then, in April, it was revealed that the Trump administration had appealed to the Supreme Court, seeking authority to remove senior officials from independent federal agencies.
Observers interpreted this legal move as a direct challenge to Powell's tenure. A week later, Trump wrote on Truth Social that "the firing of Powell cannot come fast enough." This week, Trump once again targeted Powell, arguing that "Powell must now lower interest rates" and noting that the European Central Bank has implemented significant rate cuts. According to Reuters, Trump stated on Friday that the decision to appoint a new Federal Reserve leader is imminent.
It will be announced soon," Trump remarked. Reuters added that the president believes an ideal central bank chief would act decisively to cut interest rates. Among those rumored to be under consideration is former Fed governor Kevin Warsh. In a recent commentary, Warsh condemned the Fed's strong market intervention measures and ballooning balance sheet, arguing that these approaches have fueled inflation and federal debt.
Warsh is often described as supporting stimulus measures only in cases of economic emergency, leading some to view him as an interventionist. When specifically asked about Warsh, Trump told reporters that "he is highly regarded." As of the time of reporting, the CME Fedwatch tool placed the likelihood of interest rates remaining unchanged at the Fed's meeting on June 18 at an astonishing 97.4%.
