Trump Says Powell Most Likely to Remain Fed Chair Through 2026

President Donald Trump, despite his repeated sharp criticism of Federal Reserve Chair Jerome Powell over high interest rates and costly renovations at the Fed headquarters, indicated that he is unlikely to remove Powell before his term ends in May 2026. In interviews and posts, Trump accused Powell of mismanagement, calling the renovation project excessively expensive and likening it to a palace being built for himself, but acknowledged that firing Powell would be disruptive to the markets. Trump suggested that some members of the Federal Reserve Board of Governors have lost confidence in Powell and hinted at internal dissent, referencing a recent vote with double dissents not seen in decades. Although Trump expressed a desire to remove Powell “in a heartbeat,” he deferred to market stability and noted Powell’s term expiration approaching, promising to appoint a replacement then. The president also called for the Fed board to assume greater control if Powell does not lower interest rates substantially, showcasing ongoing tensions within the Fed’s leadership. Trump’s comments come amid mixed economic reports, including downward revisions of job gains and his dismissal of a Bureau of Labor Statistics commissioner over alleged data inaccuracies.