US President Donald Trump may soon dismiss Jerome Pavel, chairman of the US Central Bank of Federal Reserve, such reports are coming out. In a meeting with Republican MPs at the Oval Office of the White House on Tuesday evening, he said that he can remove Fed Reserve President Jerome Pavel from his post. However, later Trump refused to say anything like this.

Trump drafts a letter

In this meeting to discuss the Crypto Regulation Bill, Trump asked the MPs whether they feel that they should dismiss Powell. According to a White House official, after getting the consent of everyone, Trump talked about implementing it.

The New York Times report said that Trump has also dragged a letter regarding Pavel’s dismissal. However, a few hours after this meeting, on Wednesday, Trump said in the White House, we do not have a plan to do anything like this. I do not deny any possibility, but the possibility of this is very little, as long as they have to leave the post due to a fraud.

Pavel was chosen by Trump

Powell was first nominated by Trump in 2017. Then in 2021, Biden’s government extended another term of him. He will retire from the post of President of Fed Reserve on May 2026. Trump is upset with Pavel for not cutting interest rates. Now the question comes whether Trump has the right to remove Powell? The answer is not.

The Federal Reserve Act of 1913 states that Fed Governors are appointed by the President and with the advice and consent of the Senate, he is selected for a four -year tenure. The President has no legal right to remove the Fed Chairman. However, he can try to remove them by proving some reason. Let us know that recently, Trump’s government had accused Powell of misguided of $ 2.5 billion renovation project in the Fed.

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Trump Tariff: US President Donald Trump, while addressing an event in Michigan on Tuesday, again targeted Fed Reserve Chairman Jerome Pavel. At Michigan rally, Trump said, I have a person who is not doing really good work. Although Trump did not directly take the name of Pavel, but he meant to say from Pavel.

Trump again raised the issue of reducing the interest rate

Trump further said, “I want to keep my attitude towards Fed respectable and good. You should not even criticize the fed, but should allow it to do your work. But believe me, I know more about the interest rates. “Just a week ago, Trump even said that” Powel’s dismissal cannot be so soon. “Now his said what he said at Michigan’s rally shows that Trump does not have the intention of making pressure to reduce the interest rates on the Central Bank or his chairman.

Trump’s things give so much assurance that he will not try to remove the fed chairman from the post. With this, investors will breathe a sigh of relief, who were thinking that they are ready to eliminate the leadership of Fed and directly challenge his freedom. In fact, people were worried about it because the news came to the news that Trump is consulting with his team to remove Pavel from his chair.

This is Pavel’s trend regarding interest rate

Pavel says that due to Trump’s high tariff, there is a possibility of increasing inflation and decreasing growth. Pavel said that Trump’s tariff policy has created challenges in front of central banks. The Fed will first have to assess how the impact of the tariff will be on inflation and employment and to deal with these challenges, the deadline will also have to be considered. This showed that Pavel is not in a hurry to reduce tariffs recently.

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Share Market: The trust of investors over the US economy has been shaken after US President Donald Trump criticized Federal Reserve Chairman Jerome Pavel. Due to this, there has been a huge decline in American stocks and dollars. The benchmark S&P 500 index declined by 2.36 percent on Monday, which is the biggest decline ever this year.

Dollar reached three -year low

Meanwhile, the Tech-Havi Nasdaq Composite Index also recorded a decline of 2.55 %. With this, this index has slipped from its position about 18 percent from the beginning of this year. On Monday, the dollar reached its three -year lowest level. It fell by 97.92 as compared to major foreign currencies like Euro, Yen, Frank. Government bonds also declined on Monday as investors started selling assets commonly considered safe. The reward of 10-year-old bonds in America is rising to 4.4 percent.

Sluggish in Asian market too

The Asian market also started with lethargy on Tuesday. In the beginning of trading in Japan’s Nikkei 225, Hong Kong’s Hong Seng Index and Taiwan’s Taiiex index, there was a decline of 0.8 percent, 0.6 percent and 0.5 percent respectively. Trump is furious at Pavel, the chairman of the Fed Reserve for refusing to cut interest rates. On his social media handle, he has called Pavel as ‘Major Loser’ and ‘MR Too Late’. He has also threatened to remove Pavel from the post. Now he is considering the ways of legally removed to them.

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Donald Trump: US President Donald Trump is currently considering ways to evacuate Federal Reserve Chairman Jerome Pavel. His economic advisor gave this information at the White House on Friday. Asked whether Powell’s dismissal is possible? National Economic Council director Kevin Haset while replying to this said, the President and his team are thinking about it. Earlier, Trump attacked Powell to reduce the interest rate in America.

Removing Pavel is not so easy

Explain that removing Pavel from the post is not so easy for Trump because the Fed Reserve is an independent body. According to the 1935 US Supreme Court’s decision, Trump has limited rights to sack the Fed Chief. In such a situation, the law can be dismissed only by giving any reason to the Fed Chief. These include misconduct, misconduct or unknown.

Pavel not in a hurry to reduce interest rate

Trump, furious on Pavel, is criticizing him fiercely these days. It was Trump who appointed Pavel as the chairman of the American Federal Reserve during his first term and now Trump is accusing him of doing politics.

In an event held in Chicago on Wednesday last Wednesday, Pavel had said that Trump has increased the tariffs more than expected. This will increase the prices of things, which can create a situation of inflation and economic uncertainty. Powell took a tough stance and said that he is not in a hurry to reduce the interest rates. First he wants to see what effect Trump’s tariff policy has on the economy.

Pressure to reduce trump interest rate

Here the trump is being pressured to reduce interest rates. After the European Central Bank’s interest rates were reduced, Trump said, Powell should have reduced the interest rates like ECB long before and now it should definitely be reduced. Oil prices and grocery goods prices have come down, eggs have become cheap. America is becoming rich due to tariff. Powell’s dismissal cannot be so soon.

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Donald Trump: European Central Bank (ECB) has cut interest rates for the seventh time this year on Thursday. Also, the interest rate has been indicated to reduce even more. Whereas a day before this, Jerome Powell, chairman of the US Federal Reserve indicated that he is not in a hurry to cut interest rates at the moment. He says that he will not hurry to decide on monetary policy. His focus is currently the impact of Trump’s tariff policy on the US economy.

Donald Trump raging on Pavel

Now it is obvious that Trump is unhappy with Pavel’s decision. He compared the Fed Reserve to ECB in one of his posts on Thursday and criticized Powell as “always late and wrong”. Trump says that Powell should have already reduced interest rates like the European Central Bank. Explain that the Federal Reserve has retained the policy interest rate within the radius of 4.25 percent-4.50 percent from December, while the interest rates were cut thrice from September to December 2024.

Trump put pressure on reducing interest rate

Trump argued in his post saying, “The prices of oil and grocery items (even eggs) have come down. America is getting rich through tariffs. Like ECB, interest rates should have been reduced long ago, but now it must definitely be reduced.

While Fed Reserve’s policy makers are facing many challenges these days. At an event held at the Economic Club in Chicago on Wednesday, Pavel said, “Inflation may increase due to tariffs.” In such a situation, it will be difficult for the Fed to deal with weak economic development. Earlier, Jerome Pavel had said that if inflation is not reduced then the interest rates can remain high.

Can Trump dismiss Pavel?

President Trump on Thursday attacked Federal Reserve Chairman Jerome Pavel and posted on social media, “The dismissal cannot be so soon.” In 2017, Trump appointed Jerome Powell as the chairman of the Fed. His term will end in May 2026. However, this is not the first time that Trump has threatened Powell, but earlier in 2018 he has clashed with Pavel over the interest rate policy, but did not dismiss him.

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Trump Tariff: Jerome Powell, chairman of the US Federal Reserve, says that the tariff policy of President Donald Trump may increase inflation, slow growth. At an event held at the Economic Club in Chicago on Wednesday, Pavel said, the fed focus is just that the policy of Trump has increased inflation to a limit and not for a long time.

Trump’s tariff more than estimates: Pavel

Pavel has given strict warnings about the impact of Trump’s constant increase in tariffs. He said, “The level of tariffs declared so far is more than the estimate. Due to this, inflation can increase, economic growth may slow down, unemployment situation may arise. This is a challenge that the Federal Reserve did not have to face in half a century. ”

Citizens of the country will have to bear the burden of tariff

He says that the pressure on the labor market will increase due to increasing inflation. To understand the impact of Trump’s policy on the economy, other policy makers of Fed have also supported keeping interest rates stable. He said that unemployment is also likely to increase due to slow economy. There is also every possibility of increasing inflation, which the public will have to bear as a burden of tariffs.

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