Permanent dispute with the authority
“Insurage tactics”: Trump wants to visit US Federal Reserve
Updated on July 24th, 2025 – 7:01 p.m.Reading time: 2 min.
The US President has not been good for a long time to speak to the central bank boss. Now Donald Trump pays a visit to the Federal Reserve.
US President Donald Trump plans a visit to the independent central bank that he criticized a few days before the Fed’s upcoming interest session. According to the schedule of the White House, the visit at the headquarters in Washington is planned for Thursday afternoon (10 p.m. Central European period).
It was initially unclear whether Trump will also meet FED boss Jerome Powell, who refuses to the President’s claims after strong interest rate cuts. Trump suggested his resignation and also thought out loud about firing him. The President also described Powell as a “weak head” and as a “loser”.
According to US law, however, the President cannot relieve the FED leader because of a dispute over interest policy. The reason for a possible discharge is a dispute over cost crossing in the renovation of the aging Fed headquarters, which makes the Trump visit particularly sensitive. The US government accuses the central bank of mismanagement.
Powell has already granted costs overruns, but rejected allegations of luxurious equipment. The project does not include private elevators or VIP dining rooms and no new marble, unless the original marble is damaged or is needed to comply with the guidelines of the monument protection. In a letter to Trump’s budget director Russell Vought, he wrote: “We have made great care to ensure that the project was carefully monitored since it was approved by the Board of Directors for the first time in 2017.”
Finance Minister Scott Bessent spoke of the fact that an independent commission could also investigate the allegations. At the same time, he emphasized that the government had no hurry to find a successor for Powell, whose term of office ends in May 2026.
“A little excitement about Trump’s visit may have been lost because Bessent says that Trump has no intention of dismissing Powell,” says Matt Simpson, senior market analyst at the financial service provider City Index. But that does not mean that Powell is out of the tailor: “Trump’s announcement of a personal visit to the Fed headquarters just a few days after his violent criticism of Powell and the renovation looks less like a political move, but rather like a intimidation tactic.”
With Trump’s visit, the pressure that he and his consultants exert on Powell and the Fed increases. Trump had spoken out on Wednesday on his social media platform Truth Social for a three percent lower key interest rate. The Fed’s open market committee responsible for interest policies has not touched the key set this year and left the range of 4.25 to 4.5 percent.
A break will also be expected for the meeting on Wednesday next week. Powell has signaled that the central bank first wants to get an idea of the consequences of the customs policy initiated by Trump on inflation and economy.
