Politics
NEW: Trump Admin Begins Process To Fire And Replace High-Profile Official
U.S. Treasury Secretary Scott Bessent confirmed on Tuesday that there is currently a “formal process” underway to replace Federal Reserve Chairman Jerome Powell. Bessent stated during an interview with Bloomberg Surveillance, “There are a lot of great candidates, and we’ll see how rapidly it progresses.”
Bessent then pointed out that it wouldn’t make sense to keep Powell in his current position at the Federal Reserve once his term is over.
President Donald Trump has intensified his criticism of Powell over the last month. He has continually brought accusations against the chairman of mismanaging monetary policy and of acting at a snail’s pace in his response to economic conditions.
“Maybe I should go to the Fed… Am I allowed to appoint myself at the Fed? I’d do a much better job than these people,” the president quipped. Trump also hurled a series of insults at Powell, referring to him as “stupid,” “too late,” and “a numbskull.”
Trump has also demanded that the Fed cut rates by a full percentage point to provide stimulus for the economy. As July got underway, the attacks on Powell intensified. Last week, the president said that the Federal Reserve chairman “should resign immediately.”
Just a few days later, President Trump criticized Powell for the cost of a $2.5 billion renovation project at the Fed. He then called him a “knucklehead” and “stupid guy.”
Trump isn’t the only one bringing the heat against Powell. Office Management and Budget Director Russell Vought shredded him over the renovation project at the Fed, calling it “too lavish,” saying it was like “Versailles on the National Mall.”
During an interview on CNBC, Vought went on to discuss “fundamental mismanagement” at the Fed.
“Meanwhile, National Economic Council Director Kevin Hassett, a potential successor to Powell, added, ‘If there is cause to fire Powell, Trump has the authority to do so.’ The criticism appeared coordinated, with other figures like Fed candidate Kevin Warsh and Vice President J.D. Vance joining in,” Zerohedge reported.
Trump has also repeated his demand for rates to be slashed by one percent. Individuals on his team have revealed that they might consider the renovation project as a means to justify removing Powell from his position.
Many of Trump’s supporters believe that firing the Fed chairman would be a highly strategic move that would lead to lower interest rates and provide consumers with much-needed relief. However, some are concerned about the potential market fallout that could result from such a sudden course of action.