President Donald Trump on Saturday posted a cartoon image on Truth Social that depicted him firing Federal Reserve Chairman Jerome Powell.
The illustration shows Trump pointing and shouting “YOU’RE FIRED!” at Powell, who is holding a box of belongings, against a backdrop of the Federal Reserve seal. The image appeared to be digitally generated.
Trump’s pressure on the Fed
Trump has stepped up his attacks on Powell, criticizing him for being too cautious in cutting rates. He has repeatedly labeled the Fed chief “Too Late Powell.” Earlier this month, the central bank lowered rates for the first time this year. Powell’s term runs until May 2026.
No U.S. president has ever removed a Fed chair before their term expired. A recent Supreme Court ruling signaled that the president does not have unilateral authority to dismiss Fed officials. Powell has also stated that such an attempt is “not permitted under the law.”
The White House did not immediately respond to requests for comment.
Legal backdrop and past clashes
The Trump administration has hinted at challenging Powell over alleged mismanagement, including renovations at the Fed’s Washington headquarters. In August, Trump also attempted to fire Fed Governor Lisa Cook on claims of mortgage fraud, a case now pending before the Supreme Court.
The Department of Justice argued in a filing last week that removing Cook would not disrupt markets, while her attorneys warned it could undermine Fed independence.
Market impact
So far, financial markets have largely shrugged off Trump’s threats toward Powell. Analysts caution, however, that a successful move to oust the Fed chair could rattle bond markets and push longer-term interest rates higher on fears that monetary policy would become politically driven.
