BURSTRep. French Hill (R-Ark.), the chair of the House Financial Services Committee, said on Thursday that he does not "believe" that President Trump can fire Federal Reserve Chair Jerome Powell.
Hill was asked during a press conference if he thinks there are any circumstances in which Trump “could and should” fire Powell, whose term as the chair of the Federal Reserve Board expires in 2026.
“He's not going to fire Jay Powell, and I don't believe he can fire Jay Powell,” Hill said in response.
“Jay Powell's term is up as chairman next spring. President Trump also has a vacancy coming up earlier in the winter, that he can add the governor, and I think that's the bottom line,” the Arkansas Republican added.
Trump, who has heavily criticized Powell over refusing to lower interest rates, signaled to some lawmakers during a Tuesday White House meeting that he planned to fire the Fed chair. On Wednesday, the president walked back some of it.
“I don’t rule out anything, but I think it’s highly unlikely. Unless he has to leave, fraud,” Trump told reporters on Wednesday.
Other administration officials have also hammered Powell, whose term as a Fed board member expires in 2028, including White House trade czar Peter Navarro, who called Powell the “worst Fed chair in history.”
Republican lawmakers are split on whether Trump should fire Powell. Some, such as Rep. Anna Paulina Luna (R-Fla.), are in favor of Powell being fired, while others, including Rep. Byron Donalds (R-Fla.), are “not there yet.”
“It’s pretty clear the president is frustrated about where short-term interest rates are,” Donalds said during a Wednesday interview at the Hill Nation Summit.
Some GOP senators warned Trump that removing Powell could send a "shock wave" through the financial markets.
“I do not believe a president, any president, has the authority to fire the Federal Reserve chair,” Sen. John Kennedy (R-La.) said on Wednesday.
“I believe strongly in the independence of the Federal Reserve. Some countries in the world don’t have independent central banks,” Kennedy added. “Ask Turkey how that’s been working out for them. At one point Turkey had inflation at 30 percent.”