(The Wall Street Journal) reported on 7/20 that U.S. Treasury Secretary Bessent (Scott Bessent) had advised President Trump not to fire Federal Reserve Chair Powell (Jerome Powell) before his term expires next year, as doing so would trigger a major shock to financial markets and the global economy. Trump subsequently refuted the report on Truth Social, emphasizing that 'no one is qualified to teach him what is good for America and the markets.'
(The Wall Street Journal) reported that Bessent advised Trump not to fire Powell.
(The Wall Street Journal) pointed out that Bessent recently reminded Trump not to replace Powell before his term expires next year, warning that it could trigger market panic and plunge the Fed into unprecedented legal and political controversy. Bessent also mentioned that the Fed has an opportunity to cut interest rates this year, and there is no need to replace Powell at this time.
Previously, Trump stated that he was 'quite dissatisfied' with Powell, as he believed the Fed should have significantly cut interest rates long ago to help the economy.
Trump quickly denied on Truth Social, stating: 'I don't need anyone to teach me how to do my job.'
After the news broke, Trump immediately responded on his social media platform Truth Social, further criticizing (The Wall Street Journal) for still 'consistently reporting falsehoods.' He pointed out:
'I know better than anyone what is good for the market and what is good for America. If it weren't for me, the market wouldn't have reached historical highs; it would have crashed long ago. So (The Wall Street Journal) better get their information straight; people are not here to teach me; I am here to teach them.'
Internal criticism of Powell within the White House is intensifying.
During this time, senior officials in the Trump administration have increasingly criticized Powell, focusing on the Fed's $2.5 billion headquarters renovation project and questioning the budget's lack of control. The Director of the White House Office of Management and Budget (Russell Vought) directly stated that Powell is 'seriously negligent' and demanded an explanation from the Fed regarding the renovation project.
Powell also responded to Vought's questions, stating:
'The Federal Reserve places great importance on decision-making transparency and is accountable to the public.'
Due to the Epstein scandal, clashing with media tycoon Murdoch.
Recently, Trump has clashed with the media not just over this incident with (The Wall Street Journal); just days ago, he sued media tycoon Rupert Murdoch, who is also the head of (The Wall Street Journal), (New York Post), and Fox News Channel, on the grounds that (The Wall Street Journal) reported that Trump had sent a letter with 'some yellow jokes' to the late billionaire Jeffrey Epstein wishing him a happy 50th birthday.
The photo shows Trump with the late billionaire Jeffrey Epstein in 1997.
In response, Trump has directly demanded an exorbitant $1 billion in damages, targeting both Murdoch himself and his company News Corp, as well as the two journalists who wrote the report.
The Treasury Department and the White House have not yet responded; replacing Powell could lead to a legal battle.
However, firing the Fed chair has never happened in U.S. history. If Trump were to proceed, it could trigger a legal battle, potentially even an appeal to the Supreme Court. Currently, the Treasury Department and the White House have not responded to this incident. (The Wall Street Journal) also maintains its original statement and has not retracted the article.
This article (The Wall Street Journal) revealed that the Treasury Secretary advised Trump against firing Powell, to which Trump responded: 'I don't need anyone to teach me how to do my job.' It first appeared in Chain News ABMedia.