🚨LATEST NEWS: Trump supports proposal for investigation of the Fed chair and calls for his immediate resignation.
BUT LET'S GET TO THE FACTS:
Jerome Powell's term as Chair of the Fed lasts until May 2026. He was first appointed by Trump himself in 2018 and reappointed by Biden in 2022.
The U.S. president cannot fire the Fed chair just because he wants to:
- The Federal Reserve is an independent entity.
- The president can only dismiss a governor for "just cause," meaning: misconduct, negligence, or incapacity.
- Political disagreements or monetary policy decisions are not legally sufficient reasons.
📣Trump has tried this before:
In 2019, during his term, Trump was dissatisfied with Powell's interest rate policy and considered his dismissal. His legal advisors warned that this would violate the Fed's independence and provoke instability in the markets.
Trump can apply pressure, publicly criticize, or promise to replace Powell, but he cannot legally fire him unless he has serious legal justification, which is why he is supporting this possible investigation.
What do you think? Will Powell resign?