FHFA’s Pulte says Fed Chair Powell may resign amid Trump’s attacks on high interest rates and alleged deceptive testimony.
According to reports, Jerome Powell is purportedly contemplating his resignation as the Federal Reserve Chair, which could be advantageous for the cryptocurrency market. This occurs in the context of criticisms from US President Donald Trump, who advocates for a 300-basis-point (bps) reduction in the Federal Reserve’s target rate.
FHFA Chairman’s Statement Regarding the Potential Resignation of Jerome Powell
In an X post, William Pulte issued a statement regarding allegations that the Federal Reserve Chair is contemplating resignation. The FHFA Chairman did not specifically reference any reports. Still, he did note that a move from Jerome Powell in this direction would be the “right direction for America, and the economy will boom.”
Earlier this month, Pulte urged an investigation into the Fed Chair, which is worth noting. He encouraged Congress to inquire into Powell’s Senate testimony, which purportedly contained fraudulent statements.
In the interim, this statement regarding Jerome Powell’s purported resignation is made in the context of Trump’s criticism of the Federal Reserve Chair and his advocacy for a 300 basis point rate reduction. The president stated that the Federal Reserve should reduce rates at an accelerated pace, as there was no inflation.
He also suggested that a Federal Reserve rate cut would be the ideal response to the current market strength, which is reflected in the soaring prices of crypto and the stock market’s new highs. Nevertheless, the Federal Reserve Chair has stated that they are in a favorable position to wait and observe the effects of tariffs on inflation rather than rushing to reduce rates.
Today, Trump reiterated his belief that Jerome Powell is performing inadequately. Nevertheless, he disclosed that he has no intention of dismissing the Fed Chair. Powell will continue to serve as the Federal Reserve Chair until May of the following year.
