#TrumpVsPowell

The Federal Reserve has long prided itself on its independence from political pressure. However, this tradition is being challenged again as President Donald Trump escalates attacks on Jerome Powell, the central bank's chairman, for refusing to lower interest rates.

"If I want him out, he’ll be out of there very quickly, believe me," Trump told reporters on Thursday in the Oval Office. On his social media platform Truth Social, the president doubled down: "Powell's dismissal cannot happen fast enough!" he wrote.

The attacks represent one of Trump’s most severe attempts to undermine the political independence of an institution historically insulated from White House influence to ensure stable economic management. Speaking on Wednesday at the Economic Club of Chicago, Powell resisted political interference and stated that the Fed would base its decisions solely on what is best for Americans.

"That’s the only thing we will ever do," Powell said. "We will never be influenced by any political pressure… Our independence is a matter of law." Powell added that Federal Reserve governors "are not removable except for cause" and that "we serve very long terms, seemingly indefinite terms."

Nonetheless, this has not stopped Trump from trying to fire the Fed chairman. "I don’t think he’s doing his job," the president said on Thursday, claiming that Powell lowered interest rates "too late." Powell was first nominated to the position of Fed chairman by Trump in 2017 and was re-nominated by President Joe Biden in 2022. His current term as chairman runs until May 2026.