Fed Chair Powell Faces Trump Pressure Amid Rate Decision, Renovations

Federal Reserve Chair Jerome Powell is under intense pressure from President Trump and the White House as the Federal Open Market Committee (FOMC) prepares to announce its interest rate decision. Despite Trump's demands for significant rate cuts, Powell has maintained a cautious approach, opting to wait for clearer inflation data influenced by tariffs before easing monetary policy. The political tension has been heightened by Trump's public criticism of Powell and his unconventional visit to the Fed's costly renovation site, where he challenged the project’s budget estimates. While Trump has softened his stance on firing Powell before his term ends in 2026, he continues to advocate for lower rates and expressed confidence in Powell's commitment to the right course. The upcoming FOMC meeting and Powell's press conference are seen as critical moments amid this fraught backdrop, with the economy holding steady but inflation remaining above target. The renovations of the Federal Reserve buildings, long overdue and over budget, have added another layer to the scrutiny facing Powell.