Overview

• President Trump called Jerome Powell “terrible” and said he has three or four potential successors in mind, including Kevin Warsh, Kevin Hassett, Christopher Waller and Scott Bessent.
• He has repeatedly criticized Powell’s reluctance to lower borrowing costs and warned he may name a successor soon.
• Fed Chair Powell testified before a Senate panel that higher tariffs risk driving up inflation this summer and emphasized the need for clarity on price pressures before cutting rates.
• The Federal Reserve has kept its benchmark interest rate at 4.25%–4.5% since December as inflation trends remain uncertain.
• Republican lawmakers pressed Powell in recent House and Senate hearings over his cautious approach to rate cuts, testing the central bank’s policy autonomy.