Political Pressure Mounts Against Fed Chair Powell as Trump Allies Push for Leadership Change

Federal Reserve Chair Jerome Powell faces escalating criticism from former President Donald TRUMP and Republican lawmakers over monetary policy decisions. The tension stems from Powell's reluctance to further cut interest rates amid concerns that White House tariff policies could fuel inflation.

"Jerome Powell has been very bad for our country," Trump asserted, claiming the U.S. should have the world's lowest interest rates. The Fed chair maintains that Trump lacks legal authority to remove him before his term ends in May 2026.

A growing coalition including FHFA Director Bill Pulte and former Fed Governor Kevin Warsh is calling for investigations and "regime change" at the central bank. While the Fed's independence theoretically protects Powell from political interference, the public challenge to his leadership marks unprecedented pressure on the institution.