Trump says he has no plans to remove Fed Chair Powell despite Justice Department investigation
Trump told Reuters Wednesday he is not planning to dismiss Jerome Powell, though he said it is premature to rule out future action based on an ongoing investigation.
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President Donald Trump stated Wednesday that he does not plan to remove Jerome Powell from his position as Federal Reserve chair, despite a criminal investigation by the Department of Justice into Powell's conduct.
In an interview with Reuters, Trump said, "I have no plans to do that," when asked whether he would attempt to remove Powell from office. The investigation concerns Powell's role in a renovation of the Federal Reserve's headquarters.
Trump qualified his position by noting it remains uncertain whether the investigation will ultimately provide grounds for dismissal. "Right now, we are in a kind of holding pattern with him, and we will decide what to do. But I cannot go into details. It is too early. Too early," Trump said.
When pressed on whether the investigation could give him a basis to dismiss Powell, Trump reiterated that a final decision has not been reached. "It is too early," he said.
Federal law stipulates that Federal Reserve governors can only be removed for cause, not over policy disagreements. Powell's term as Fed chair ends in May, though he is not required to leave the Board of Governors, based in Washington, until 2028.
Trump has suggested he may nominate former Federal Reserve official Kevin Warsh or Kevin Hasse, director of the National Economic Council, as potential successors to Powell.