Trump weighs sacking Powell as anger with Fed chief grows

US President Donald Trump's long-running dissatisfaction with Jerome Powell reached a fever pitch this week, with the president openly musing about dismissing the Fed chair over his interest-rate decisions, as some advisers have been counseling restraint.

- CATHERINE LUCEY JOSH WINGROVE NANCY COOK WASHINGTON (BLOOMBERG)

Trump has been asking those around him about the possibility of removing the Federal Reserve chair, according to people familiar with the matter. Moreover, Mr Powell angered some Trump allies by giving a speech Wednesday justifying the Fed's cautious rates approach as the president's trade war unnerves markets, people said.

While Trump hasn't outright said he will oust the central banker, merely asking about someone's job status has traditionally been a tell-tale sign he is considering sacking a government official. But moving against a Fed chair would be far more significant for the world economy than Trump's past personnel changes, sending shock waves through an economic system already rattled by the US president's decision to raise tariffs to their highest levels in a century.

"If I ask him to, he'll be out of there," Trump told reporters in the Oval Office Thursday. "I'm not happy with him. I let him know it."

The Wall Street Journal earlier reported that Trump discussed firing Mr Powell.

Inside the administration, Treasury Secretary Scott Bessent and White House National Economic Council Director Kevin Hassett have pushed back against the idea of axing Mr Powell before his term ends in May 2026, warning about the potential economic fall-out, people familiar with the matter said.