The conservative Wall Street Journal editorial board had some harsh words for President Donald Trump as he endeavors to replace the Federal Reserve chairman.
For months, Trump has relentlessly attacked Chairman Jerome Powell because Powell has refused to lower interest rates. Trump has publicly insulted Powell on numerous occasions, including calling him "stupid" and branding him with the moniker "Too Late."
Powell has consistently contended that the uncertainty injected into the market by Trump's economic policies has prevented him from lowering the rates.
Now, Trump appears to be inventing a pretext to fire Powell by accusing him of mismanaging the $2.5 billion renovation to the Federal Reserve's headquarters. That effort doesn't sit well with the editorial board.
"How low can this crowd go?" reads an editorial published on Tuesday.
"This kerfuffle is pure pretext," it continues. "President Trump has been annoyed by Mr. Powell since the Fed chief proved less pliable than expected after Mr. Trump appointed him in the first term."
"Mr. Trump now wants Mr. Powell to cut interest rates to help the economy, despite stubbornly elevated inflation," it continues. "The President also is annoyed that the Fed chief keeps warning that monetary officials must monitor the economic consequences of Mr. Trump’s beloved tariffs to make sure they don’t become inflationary."
Experts say Trump has used tariffs largely as a bargaining chip with other countries. He has also strongly opposed efforts by the courts and Congress to restrict his power to levy tariffs.
"It’s madness to create a new precedent for prosecuting officials for policy disagreements," the editorial reads.
