Overview

• Trump told reporters he is "not planning on doing anything" to fire Jerome Powell and said dismissal would require proven fraud or misconduct
• A senior White House official had privately told GOP lawmakers that Powell’s ouster was likely "soon," triggering a market dip before stocks recovered
• Republicans are split on whether cost overruns in the Fed’s $2.5 billion headquarters renovation qualify as legitimate cause under the Federal Reserve Act
• Legal experts anticipate a drawn-out court battle, potentially heading to the Supreme Court, over the president’s authority to remove a Fed chair
• Market analysts warn that any attempt to dismiss Powell could spur an equity selloff, drive up long-term yields and unsettle global investors