Trump’s Fed Chair Drama: Will Powell Get the Boot? 🤔💼

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In a world where the President of the United States, Donald Trump, is less a man and more a walking, talking tweet, he has decided that Federal Reserve Chair Jerome Powell is about as useful as a chocolate teapot. Just before the weekend, while aboard the flying fortress known as Air Force One, he informed the gathered reporters that a decision regarding the next Fed chair will be “coming out very soon.” And by “very soon,” he probably means sometime before the next ice age.

Rate Cut Demanded: Trump Slams Powell, Signals Fed Leadership Overhaul

Since taking the reins of power in January 2025, Trump has been on a relentless crusade against Powell, claiming the central bank chief is perpetually “too late.” Back in the halcyon days of August 2024—before he even had the presidency in his grasp—Trump proclaimed at a Mar-a-Lago press conference that U.S. Presidents should have a say in Federal Reserve policy, because why not? It’s not like they have anything better to do, right?

In April, it was revealed that Trump’s administration had decided to play legal hopscotch with the Supreme Court, seeking the power to remove senior officials from independent federal agencies. Observers, who are probably just as confused as the rest of us, interpreted this as a direct challenge to Powell’s tenure. One week later, Trump tweeted on Truth Social that Powell’s “termination cannot come fast enough.” Talk about a warm welcome!

This week, Trump took aim at Powell once more, insisting that “Powell must now lower the rate,” while pointing out that the European Central Bank had already made substantial cuts. According to Reuters, Trump announced on Friday that a decision on appointing a new Federal Reserve leader is imminent, which is a fancy way of saying he’s still deciding who to blame next.

“It’s coming out very soon,” Trump remarked, as if he were announcing the next blockbuster movie. Reuters added that the president believes an ideal central bank head would be someone who cuts interest rates faster than a chef with a dull knife. Among those rumored to be in consideration is former Fed governor Kevin Warsh, who has recently denounced the Fed’s aggressive market interventions, suggesting they’ve fueled inflation and the federal debt. Because, of course, it’s always someone else’s fault.

Warsh is often described as favoring stimulus measures only during economic emergencies, which has led some to label him an interventionist. When asked about Warsh, Trump replied to reporters, “he’s very highly thought of,” which is a bit like saying a cat is very highly thought of by a mouse. As of press time, the CME Fedwatch tool places the probability of interest rates holding steady at the June 18 Fed meeting at a striking 97.4%. So, place your bets, folks!

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2025-06-07 18:57