Trump Vows to Replace BLS Chief and Threatens to Fire Powell Over Weak Jobs Report

Donald Trump has escalated his public criticism of Federal Reserve Chairman Jerome Powell, vowing to “fire Powell on the spot” if the central bank did not immediately lower interest rates in response to a weaker-than-expected U.S. jobs report [1]. Speaking in an interview with Newsmax, Trump initially stated he would “not hesitate to fire Powell,” but later softened his stance, suggesting Powell would likely remain in his position provided he acted in line with Trump’s expectations [3]. Trump also accused the Fed of keeping interest rates too high, which he claimed contributed to the disappointing employment figures.

In addition to targeting Powell, Trump announced his intention to replace Erika McEntarfer, the current commissioner of the Bureau of Labor Statistics (BLS), whom he accused of “manipulating job numbers” [2]. These comments reflect a broader pattern of political pressure on economic indicators and policy makers, with Trump repeatedly urging more aggressive action from the central bank in recent months.

Despite the ’s strong rhetoric, the Federal Reserve has maintained its focus on its dual mandate of price stability and maximum employment, with officials like Fed Governor Adriana Kugle emphasizing the importance of data-driven decisions and patience in navigating economic uncertainty [4]. Analysts note that while Trump’s statements may influence market sentiment, the Fed operates independently and is unlikely to alter its course based on political pressure [5]. However, the heightened political noise could contribute to investor uncertainty, particularly as the market watches closely for further economic signals.

Trump’s inconsistent messaging—ranging from immediate threats to replace top officials to more measured conditional statements—highlights the volatility of political discourse in economic policymaking. While the Fed remains focused on long-term stability, political figures often amplify short-term concerns, complicating the clarity of public economic narratives.

As the debate over interest rates and economic performance continues, the market is closely monitoring both the Federal Reserve’s response and the evolving political landscape. The full implications of the latest jobs report and Trump’s reactions will depend on how the Fed chooses to proceed in the coming months.

---

Sources:

[1] The, [https://www.nytimes.com/live/2025/07/31/business/tariffs-trump-trade/trump-tariffs-stock-markets-trade](https://www.nytimes.com/live/2025/07/31/business/tariffs-trump-trade/trump-tariffs-stock-markets-trade)

[2] WLOS, [https://wlos.com/news/nation-world/trump-vows-to-fire-labor-statistic-commissioner-accusing-her-of-manipulating-job-numbers-joe-biden-erika-mcentarfer-chuck-schumer-elizabeth-wareen-job-market-bureau-of-labor-statistics](https://wlos.com/news/nation-world/trump-vows-to-fire-labor-statistic-commissioner-accusing-her-of-manipulating-job-numbers-joe-biden-erika-mcentarfer-chuck-schumer-elizabeth-wareen-job-market-bureau-of-labor-statistics)

[3] AOL.com, [https://www.aol.com/news/trump-says-labor-stats-official-191905408.html](https://www.aol.com/news/trump-says-labor-stats-official-191905408.html)

[4] Yahoo.co, [https://www.yahoo.com/news/articles/trump-fires-bls-chief-jobs-190820642.html](https://www.yahoo.com/news/articles/trump-fires-bls-chief-jobs-190820642.html)

[5] TikTok, [https://www.tiktok.com/@foxnews/video/75332151****4462367](https://www.tiktok.com/@foxnews/video/75332151****4462367)