President Trump moved to reassure markets Tuesday night, telling reporters he has no plans to remove Federal Reserve Chairman Jerome Powell, despite a barrage of recent public attacks.
- “I would like to see him be a little more active in terms of his idea to lower interest rates… but, no, I have no intention to fire him,” Trump said during an Oval Office meeting.
- The president reiterated his desire for lower interest rates, calling it a “perfect time” to ease monetary policy, but clarified that Powell’s refusal would not be a deal-breaker. “If he doesn’t, is it the end? No. It’s not.”
Changing Tone: The remarks marked a sharp shift in tone from just days earlier. Ahead of the Easter holiday weekend, Trump tweeted that Powell’s “termination cannot come fast enough.” That criticism carried into the new week, with Trump on Monday again attacking the Fed chair, calling him “Mr. Too Late” and accusing him of dragging his feet on rate cuts.
- “With Energy Costs way down, food prices (including Biden’s egg disaster!) substantially lower, and most other ‘things’ trending down, there is virtually No Inflation,” Trump wrote on Truth Social. “But there can be a SLOWING of the economy unless Mr. Too Late, a major loser, lowers interest rates, NOW.”
More Good News: In addition to his comments on the Fed, Trump also hinted that his recently announced 145% tariffs on Chinese imports would not remain in place permanently. “It won’t be that high… It will come down substantially. But it won’t be zero. It used to be zero.”
Bottom line: Trump’s assurance that Powell will remain at the helm of the Federal Reserve—and that the sharpest tariffs may ease—will likely boost investor sentiment and stabilize markets rattled by recent political and trade uncertainty.
