In a fresh barrage aimed at the nation’s central bank, President Donald J. Trump on Tuesday reportedly delivered one of his sharpest criticisms yet of Federal Reserve Chair Jerome Powell, accusing him of crippling the economy with his “too late” approach to monetary policy and mismanaging federal resources.
Posting to his Truth Social account, the president labeled Powell a “loser” and insisted that the Fed slash interest rates without delay.
“Jerome ‘Too Late’ Powell must NOW lower the rate,” Mr. Trump wrote, underscoring his belief that the central bank’s reluctance to cut borrowing costs is hindering economic growth.
Mr. Trump went further, suggesting he may authorize legal action against the Fed chief, citing what he described as gross incompetence in managing the renovation of the Federal Reserve’s own facilities.
“The damage he has done by always being Too Late is incalculable,” he declared. “I am, though, considering allowing a major lawsuit against Powell to proceed because of the horrible, and grossly incompetent, job he has done in managing the construction of the Fed Buildings. Three Billion Dollars for a job that should have been a $50 Million Dollar fix up. Not good!”
The president tied Powell’s tenure to what he described as missed opportunities for economic acceleration, while asserting that the country’s strength has nevertheless overcome such headwinds.
“Fortunately, the economy is sooo good that we’ve blown through Powell and the complacent Board,” Mr. Trump said, signaling that strong market performance has persisted despite the Fed’s inaction.
This is not the first time the president has singled out the Fed chair for criticism. Since taking office, Mr. Trump has been an outspoken advocate for lower interest rates, arguing that cheaper borrowing costs would spur investment, job creation, and economic expansion.
Powell, appointed to the post by Mr. Trump in 2018 on the recommendation of then-Treasury Secretary Steven Mnuchin — whom the president, with a characteristically biting aside, referred to as “Steve ‘Manouychin’” — has faced ongoing pressure from the White House to move more aggressively on monetary easing.
The president’s grievances extend beyond monetary policy. His charge of fiscal mismanagement regarding the Fed’s $3 billion construction project signals a broader critique of Washington’s spending habits.
For conservatives concerned about government waste and accountability, Mr. Trump’s remarks resonate with longstanding calls for greater oversight of federal expenditures.
Despite the intensifying war of words, Mr. Trump has indicated that he will not remove Powell before the end of his term, acknowledging earlier this month that firing the Fed chair would be “very disruptive.”
The restraint is notable given the depth of the president’s dissatisfaction, suggesting that while Mr. Trump is eager to apply public pressure, he is wary of the potential economic and political fallout from such a move.
By linking Powell’s decisions to both economic performance and federal spending, the president’s critique appears aimed at rallying fiscal conservatives and market-oriented voters alike.
His message, delivered in typically blunt fashion, leaves little doubt that he views the Fed’s leadership as an obstacle to unleashing what he sees as the nation’s full economic potential.
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