Trump threatens to fire US Federal Reserve Chair Powell over monetary policy

US President Donald Trump Threatens to Fire Federal Reserve Chair Jerome Powell

In an interview with Fox Business, US President Donald Trump stated that he would fire Federal Reserve Chair Jerome Powell from his separate seat on the central bank’s board of governors if Powell does not leave voluntarily when his term ends on May 15. According to Trump, “if he’s not leaving on time, I’ve held back firing him, I’ve wanted to fire him, but I hate to be controversial, you know.”

Trump also mentioned that he would have to fire Powell if he did not step down. The president’s comments come as the confirmation hearing for his nominee to succeed Powell, Kevin Warsh, is scheduled for next Tuesday.

It has been reported that North Carolina Senator Thom Tillis plans to block Warsh’s confirmation until the federal criminal probe into Powell has ended. If a nominee fails to be confirmed, Powell would remain in his position until one is confirmed.

Trump has expressed his desire for greater control over the central bank and its board members who align with his views. The investigation into Powell, led by US Attorney Jeanine Pirro, continues despite no evidence of wrongdoing being found.

Powell has pushed back against the investigation, stating that it is a pretext to undermine the central bank’s independence when assessing monetary policy. Trump has appointed only three of the current members to the board, and one of them, Fed Governor Stephen Miran, would have to vacate his seat for Warsh to join.

Source: Al Jazeera