Trump's Tension with Fed: Potential Shakeup at the Top

President Trump may have grounds to fire Federal Reserve Chair Jerome Powell due to renovation cost overruns, according to White House economic adviser Kevin Hassett. The administration has criticized the Fed for a $700 million overage in its headquarters remodeling budget, pressing for answers and accountability.

Amid escalating tensions, President Trump might consider removing Federal Reserve Chair Jerome Powell if evidence of misconduct emerges, as indicated by White House economic adviser Kevin Hassett. The administration is scrutinizing a $700 million expenditure spike in the Federal Reserve's headquarters renovation.

The President's administration has expressed dissatisfaction with what they describe as an 'ostentatious overhaul' of the Fed's properties. Budget Director Russ Vought has questioned Powell over the soaring renovation costs, signaling a potential shake-up depending on Powell's responses.

President Trump has frequently voiced his discontent with Powell's interest rate policies and has suggested that Powell should step down. The administration's latest concerns focus on fiscal management within the Federal Reserve, increasingly straining the relationship between Trump and Powell.

(With inputs from agencies.)