Trump threatens to fire Fed chair Powell if he doesn't leave in May

Donald Trump's threat marks the latest escalation in his ongoing spat with Jerome Powell. Trump threatens to fire Fed chair Powell if he doesn't leave in May Copyright current_year BBC. All rights reserved. The BBC is not responsible for the content of external sites. Read about our approach to external linking. Copyright current_year BBC. All rights reserved. The BBC is not responsible for the content of external sites. Read about our approach to external linking. Donald Trump appears alongside Jerome Powell on a visit to the Federal Reserve building renovation. US President Donald Trump has threatened to fire Federal Reserve Chair Jerome Powell if he does not step aside at the end of his term in May. The two have been embroiled in a bitter spat over Powell's reluctance to cut the central bank's interest rate, despite Trump's repeated calls. over Powell's reluctance to cut the central bank's interest rate, despite Trump's repeated calls. Powell's term expires on 15 May, but he is planning to remain in post until his successor, Kevin Warsh, is confirmed by the Senate. "Then I'll have to fire him," Trump told Fox Business, when asked about Powell's plans to stay on in the job. "I've held back firing him. I've wanted to fire him, but I hate to be controversial," Trump said. Thom Tillis, an influential Republican senator on the committee which oversees nominations for the Federal Reserve chair, has threatened to block Warsh's confirmation. If Warsh is not confirmed before Powell's term expires, he plans to stay on temporarily in the post. "That's what the law calls for. That's what we've done on several occasions," Powell has said. Tillis has warned Trump he will not let Warsh's appointment go ahead unless a criminal investigation into Powell, linked to the renovation of the Federal Reserve building, is dropped. Tillis has warned Trump he will not let Warsh's appointment go ahead unless a , linked to the renovation of the Federal Reserve building, is dropped. Trump said he was hopeful Tillis would drop his opposition to the appointment, adding that he "is an American… he knows what to do". But he said he was not prepared to have the probe into Powell dropped. He told Fox Business: "Don't you think we have to find out what happened there? I have to find out." Trump has accused Powell of mishandling the Federal Reserve renovation, spending billions of dollars on a project which he suggested could have been carried out for tens of millions. He has previously branded Powell a "knucklehead" and claimed he was "doing a lousy job" after his repeated calls for interest rate cuts were ignored. Stock markets and the US dollar slipped after it emerged in 2025 Trump had broached the idea of firing Powell. Stock markets and the US dollar slipped after it emerged in 2025 Trump had The US president quickly denied he was going to sack him, adding: "It's highly unlikely unless he has to leave for fraud." If Trump were to fire Powell, it would be a major break with precedent and mark the first time a Federal Reserve chair has been fired. Trump appointed Powell to lead the Federal Reserve during his first term in 2017, praising his "steady leadership, sound judgement, and policy expertise". He was reappointed by Joe Biden in 2021. Two Fed officials voted for a cut, including the former head of Donald Trump's Council of Economic Advisers. Eleven central banks have backed Jerome Powell after the US launched a criminal investigation into the US Fed. Three former heads of the central bank say the probe seeks to undermine the Fed's independence and "has no place" in the US. Leading conservative Catholics tell the BBC why they back the American pontiff in his spat with Trump. The US Vice-President was speaking at a Turning Point USA event, where he said Pope Leo should "be careful when he talks about matters of theology." The Italian PM said the pact, which happens every five years, would be suspended "in view of the current situation". President Donald Trump said over the weekend that oil and gas prices "could be the same or maybe a little bit higher" in the coming months. Crude prices fell back below $100 a barrel as markets hope an agreement can be reached between the two sides.