Overview

• Trump’s latest Truth Social post suggested he may reconsider Powell’s tenure after failing to secure a cut in interest rates.
• The Federal Reserve held its key rate at 4.25–4.50 percent for the fifth straight meeting on June 18 as inflation remained elevated.
• Over recent months Trump has derided Powell with insults such as “fool” and “big loser,” intensifying a public feud on monetary policy.
• Economists warn that presidential pressure on the Fed risks unsettling financial markets and undermining the central bank’s independence.
• Powell’s term runs through May 2026 and most legal experts believe the president lacks clear authority to remove him prematurely.