Latest on the Powell Drama – France Weighs In 🇫🇷
France sounds the alarm: French Finance Minister, Eric Lombard, has just issued a serious warning — if the U.S. moves forward and dismisses Fed Chairman, Jerome Powell, it could ruin global confidence in the U.S. dollar and send economic shockwaves around the world. It is no longer just a domestic issue. 🌍
Trump is ramping up the pressure 🔥: Former President Trump is strongly pushing for Powell's removal, stating that his "dismissal cannot come soon enough." This follows Trump's long-standing frustration with Powell over interest rate decisions.
Legally confusing ⚖️: It is not even clear if the President can dismiss Powell. The law only allows this "for just cause" — and policy disagreements may not count. There is also a Supreme Court case in the background that could change how much control presidents have over independent institutions.
Markets on edge 📉: Investors are spooked. Economists warn that Powell's removal could trigger market panic — think stock sell-offs, a weakened dollar, and a potential global domino effect.
Warren intervenes 🧠: Senator Elizabeth Warren is warning that this kind of interference could lead to a complete market collapse. She and others are mobilizing to protect the independence of the Fed.