President Donald Trump said Thursday he will announce his pick to replace Federal Reserve Chairman Jerome Powell on Friday.
Speaking to reporters on the red carpet for first lady Melania Trump’s new movie, “Melania,” Trump was asked how soon he would name a new Fed chair.
“Tomorrow morning,” the president said. “I’ll be announcing the Fed chair tomorrow morning.”
Trump sharply criticized Powell earlier Thursday, arguing the U.S. should have significantly lower interest rates “now that even this moron admits inflation is no longer a threat.”
TRUMP CALLS FED’S POWELL A ‘MORON’ AFTER CENTRAL BANK HOLDS INTEREST RATES STEADY
“He is costing America Hundreds of Billions of Dollars a year in totally unnecessary and uncalled for INTEREST EXPENSE,” Trump wrote on Truth Social. “Because of the vast amounts of money flowing into our Country because of Tariffs, we should be paying the LOWEST INTEREST RATE OF ANY COUNTRY IN THE WORLD.”
Although Trump nominated Jerome Powell to lead the Federal Reserve in 2017, he has since emerged as one of Powell’s most vocal critics, repeatedly urging the central bank to cut rates to stimulate the economy.
FED HOLDS INTEREST RATES STEADY, PAUSING RATE CUTS AMID ECONOMIC UNCERTAINTY
Over the past year, Trump has intensified his pressure campaign, publicly rebuking Powell and at times resorting to personal insults to express his frustration with the Fed’s policy decisions. What began as a dispute over interest rate policy has escalated into a full-blown confrontation, marking the most challenging period of Powell’s eight-year tenure as Fed chair.
Earlier this month, the Justice Department opened a criminal investigation into Powell related to his congressional testimony about the Federal Reserve’s ongoing renovation of two Washington buildings. Powell confirmed the probe on Jan. 11 in a video statement, calling it “unprecedented” and describing it as another example of what he characterized as Trump’s threats toward the central bank.
TRUMP VS THE FEDERAL RESERVE: HOW THE CLASH REACHED UNCHARTED TERRITORY
After days of private consultations with advisers, Powell’s decision to address the investigation publicly marked a notable departure from his typically restrained approach. Appearing before reporters Wednesday for the first time since the probe was launched, Powell said he would not respond to statements from the administration and would not discuss the investigation.
The clash comes as the Supreme Court weighs the president’s authority to remove sitting Fed Governor Lisa Cook.
Fox News Digital’s Amanda Macias contributed to this report.
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