Trump Says Fed Chair Jerome Powell Can Be Out Real Fast

Donald Trump is turning up the heat on Federal Reserve Chair Jerome Powell, blasting him over interest rate policy and warning that his time at the Fed could be running out. The latest comments came just days after Powell raised concerns about Trump’s new round of global tariffs.

Good to know

• Trump says he could fire Fed Chair Jerome Powell quickly if he wanted.
• Powell warns tariffs might lead to stagflation, not lower inflation.
• Bitcoin remains above $83,000 but struggles to break higher.

Speaking at a White House event on Thursday, Trump said bluntly, “I’m not happy with him… If I want him out, he’ll be out of there real fast, believe me.” He echoed the same tone on Truth Social, mocking Powell as “Too Late Jerome” and insisting, “Powell’s termination cannot come fast enough.”

Trump’s anger stems from Powell’s refusal to cut interest rates despite rising political pressure and his criticism of Trump’s tariff strategy. Powell warned that tariffs on countries like China could push the economy toward stagflation—a situation where prices rise while economic growth slows. It’s a scenario the Fed hopes to avoid.

The Federal Reserve held rates at 4.5%, disappointing traders who expected a cut. The Fed’s reasoning remains tied to inflation. While overall inflation sits at 2.4%—slightly above the Fed’s 2% target—essentials like food remain even more expensive, according to the Bureau of Labor Statistics.

Powell’s stance reflects the central bank’s cautious approach: rates will remain high until inflation cools consistently. Still, Trump’s calls for aggressive cuts have stirred fresh debate about the Fed’s independence.

Earlier this week, Powell hinted at a possible change in how regulators approach digital assets, suggesting that banks might soon face fewer restrictions when working with crypto, especially stablecoins.

While Trump’s criticism grabbed headlines, prediction markets still suggest Powell is unlikely to be removed this year. But the tension between the White House and the Fed is clearly growing.

The back-and-forth has also spilled into the crypto world. Trump hinted at a potential deal with China, saying both sides could strike “a very good deal.” Though Beijing hasn’t confirmed any talks, Trump’s comments have helped keep investors somewhat optimistic.

Bitcoin continues to trade just above $84,000, holding ground and is currently priced at $84,560 according to CoinMarketCap data.