President Donald Trump may fire the chairman of the Federal Reserve because of his decision to raise interest rates, Bloomberg reports.
The report says Trump has “discussed firing Federal Reserve Chairman Jerome Powell as his frustration with the central bank chief intensified,” blaming him for months of stock-market losses.
The report is sourced to four people familiar with the matter.
“Advisers close to Trump aren’t convinced he would move against Powell and are hoping that the president’s latest bout of anger will dissipate over the holidays, the people said on condition of anonymity. Some of Trump’s advisers have warned him that firing Powell would be a disastrous move,” the report says.
Trump has been counseled to not make the move, the report said, and market watchers think things could go sideways if he did.
“Any attempt by Trump to push out Powell would have potentially devastating ripple effects across financial markets, undermining investors’ confidence in the central bank’s ability to shepherd the economy without political interference.,” the report said.