WASHINGTON — Former President Donald Trump recently confirmed he will not remove Jerome Powell as chairman of the Federal Reserve before Powell’s term expires in May 2026. In a remark reflecting his ongoing frustration with the central banker, Trump characterized Powell as “a total stiff” and reiterated his plea for the Fed to lower interest rates.
During an interview on NBC’s “Meet the Press” with Kristen Welker, tape-recorded in Florida, Trump emphasized that he expects the Federal Reserve to eventually reduce rates. He conveyed an underlying belief that Powell’s hesitation stems from personal animosity toward him, asserting, “He’d rather not because he’s not a fan of mine.”
When directly asked if he would dismiss Powell prior to the end of his term, Trump decisively stated, “No, no, no. That was a total — why would I do that?” He noted that he would soon have the opportunity to appoint a new chairman when the time comes.
Markets reacted sharply to Trump’s recent criticisms of Powell, expressing concerns about the Fed’s independence. Investors appeared unsettled by Trump’s stance on tariffs and their potential economic impact, leading to significant volatility on Wall Street. However, Trump’s comments appear to indicate a potential stabilizing effect regarding Powell’s continued leadership.
Trump has been vocal about his aggressive trade strategies, which he believes will ultimately boost the American economy. Following his imposition of a 10% tariff on imports from numerous countries and increased tariffs on specific goods, he asserted that these measures abroad are intended to enrich American workers over the long term. He also rejected any notion that the first-quarter GDP contraction could reflect poorly on his administration, pinning the blame instead on the policies of his successor, President Joe Biden.
Concerning the economic landscape, Trump described his approach as beneficial, claiming that any economic uplift is attributable to his administration, while any downturn falls squarely on Biden’s shoulders. He defended his management of energy prices and the trade deficit, downplaying criticisms that tariffs could lead to increased consumer costs.
Trump argued that Americans do not require an excess of discounted goods, suggesting that households could manage with fewer items, such as toys or school supplies. He maintained that consumers could adapt to a diminished supply of lower-cost imports.
As discussions about trade continue, Trump’s administration is working with over 15 nations to establish deals that might sidestep the higher tariffs currently in place. Trump hinted that the announcement of a significant agreement could be on the horizon. He did not discount the possibility of maintaining some tariffs indefinitely, emphasizing that stability is essential for encouraging investments in the U.S.
Recognizing the complexities of U.S.-China trade relations, Trump admitted to implementing stringent measures that have severed extensive trade ties but remained confident that China is eager to negotiate an agreement that would satisfy both sides.