Trump and Powell Clash Over Fed Renovation Costs and Rate Cut Demands

President Donald TRUMP made a rare visit to the Federal Reserve headquarters, publicly challenging Chair Jerome Powell over the central bank's soaring renovation expenses and monetary policy. The confrontation highlighted tensions between the White House and the independent Fed.

Trump criticized the $2.5 billion renovation budget, suggesting costs had ballooned to $3.1 billion during a tour of the construction site. Powell countered that the higher figure included completed work on the Martin Building, with no evidence of recent overruns. Security upgrades and rising labor costs were cited as primary drivers of expenses.

The president renewed his pressure campaign for aggressive rate cuts, demanding a three percentage point reduction ahead of the next policy meeting. Trump's repeated threats to remove Powell have created unprecedented political pressure on the traditionally apolitical institution.