WSJ: Trump Considers Announcing Replacement for Fed Chair Earlier to Undermine Powell

WASHINGTON – The battle between President Donald Trump and Federal Reserve Chair Jerome Powell has reached a new and more serious stage. According to an exclusive report from The Wall Street Journal on Thursday, the White House is considering announcing the name of a potential successor to Powell as early as this summer, an unprecedented move to pressure the central bank's leadership.

The report states that this move is specifically designed "to undermine" Powell's authority for the remainder of his term, which will not end until early 2026. Trump's frustration peaked after Powell, in his testimony before Congress this week, once again refused to bow to political pressure to cut interest rates. The day before, Trump had even personally insulted Powell by calling him "a very stupid person."

By announcing a successor candidate well in advance, Trump hopes to diminish Powell's influence over monetary policy and render him a "lame duck."

This political maneuver represents a dramatic escalation from mere verbal warfare to concrete actions that challenge the independence of the Fed. This move risks creating significant uncertainty in financial markets and will spark intense debate over the boundary between political policy and the autonomy of the U.S. central bank.