Trump is said to have stated that Powell is hanging loose in front of a group of Republican congressmen on Tuesday evening, local time, according to CBS News, which was the first to report the information.
The President asked the lawmakers what they thought about firing the central bank chief. They expressed their approval. The President indicated that he is likely to do so soon, says a high-ranking source in the White House to CNBC.
Bloomberg's source reports the same thing, but adds that Trump has not made any final decision and may change his mind.
I rule out nothing, but I think it is highly unlikely. Unless he has to leave due to fraud, says Trump to reporters in the White House.
"Formal process"
The President has several times expressed his frustration that the central bank Federal Reserve is not lowering the interest rate and has called the chairman Jerome Powell slow. The Fed is expected to instead leave the interest rate in its current range at its next meeting on July 29-30.
In recent days, Trump and his allies have focused on an expensive renovation of the central bank's headquarters in Washington and insinuated that Powell has built himself a "palace".
The White House has previously stated that they are investigating the possibility of firing Powell, who took office in 2018 and whose appointment expires in May next year. Powell has in turn called the information about the renovation incorrect and stated that the President does not have any legal opportunity to fire him except on objective grounds.
To the reporters in the White House, Trump indicates on Wednesday that the expensive renovation in Washington could constitute objective grounds for dismissal.
"99 percent sure"
On Tuesday, the US Finance Minister Scott Bessent stated in an interview with Bloomberg that a "formal process" has been initiated to nominate a replacement - but that he does not believe Trump is trying to fire Powell.
The Republican congressman French Hill, chairman of the House Finance Committee, says to CNBC that he "does not see" Trump firing Powell.
This is, however, done by party colleague Anna Paulina Luna, congressman from Florida.
"I am 99 percent sure that a dismissal is imminent", she writes on X and refers to a "very serious source".
