Pulte does not comment on talks with Trump when asked about Fed letter

Pulte does not comment on talks with Trump when asked about Fed letter

Federal Reserve Chair Jerome Powell is reportedly considering stepping down amid mounting pressure from President Donald Trump. The news comes as Trump continues to criticize Powell over the Fed's refusal to cut interest rates, a stance that has drawn Trump's ire [1].

Billy Pulte, head of the U.S. Federal Housing Finance Agency, expressed his support for Powell's potential resignation, stating, "I’m encouraged by reports that Jerome Powell is considering resigning. I think this will be the right decision for America, and the economy will boom" [1]. This comment adds to the tension between Trump and Powell, who has been a target of Trump's criticism since his appointment.

Separately, Powell is facing scrutiny over a multibillion-dollar renovation project for the Federal Reserve's headquarters in Washington, D.C. The project has come under fire for its extravagant features, including rooftop terrace gardens and premium marble. Critics argue that the Fed may have altered its renovation plans without proper approval from the National Capital Planning Commission (NCPC) [1].

In a letter, Russ Vought, former Director of the Office of Management and Budget and current Republican policy advocate, accused the Fed of including extravagant features in its redesign. Vought questioned whether the Fed had altered its renovation plans without securing proper approval from the NCPC [2].

Powell has defended the renovation, calling the allegations "misleading and inaccurate." He stated that there is no new marble, rooftop gardens, or special elevators in the current plan [1]. However, Vought's letter argued that Powell's testimony "appears to reveal that the project is out of compliance with the approved plan" and may violate federal regulations requiring NCPC oversight [2].

The Office of Management and Budget echoed Vought's concerns, alleging that Powell "slipped up and revealed he might... be violating the law" [2].

The Federal Reserve operates independently of the executive branch, and its authority to renovate or acquire buildings in the capital stems from federal statutes granting it unique institutional autonomy. The dispute over the headquarters renovation has reignited debate about the limits of that autonomy—and whether political pressure may be encroaching on central bank operations [1].

If Powell were to resign under pressure, it would mark a rare and controversial shift in the Fed's leadership amid ongoing political battles over monetary policy, inflation control, and the broader direction of the U.S. economy [1].

References:
[1] https://www.turkiyetoday.com/business/fed-chair-powell-reportedly-weighs-resignation-amid-trump-pressure-3204161
[2] https://apnews.com/article/trump-powell-vought-renovation-a6039751f110612abf00bc3cfe9e1ed6