British News Agency

Speaking at the White House on Wednesday, Trump said, “We’re not planning to do that.” He added, “I don’t rule anything out, but unless he has to resign due to fraud, I don’t think that’s very likely.”

During a meeting in the Oval Office on Tuesday evening, Trump asked House Republicans whether he should fire Powell. According to a senior White House official, the president said he would act accordingly after receiving support for the move.

The official, who requested anonymity, said, “The president asked lawmakers what they thought about firing the Fed Chairman. They expressed approval. The president said he would probably fire him soon.”

Lawmakers had been invited to the White House to discuss stalled crypto regulation bills in the House of Representatives.

The New York Times also reported that Trump had prepared a letter to dismiss Powell and showed it to lawmakers during the crypto meeting.

A Fed official declined to comment on the Oval Office meeting.

However, Powell has repeatedly stated that his dismissal “is not permitted by law.”

Markets fell after initial reports of Trump’s alleged plan to fire Powell, but later recovered following Trump’s denial through the White House press office.

Key figures in Trump’s White House launched a multi-pronged attack on Powell, aiming to force the central bank to lower interest rates. Most recently, they harshly criticized Powell over renovations at the Fed’s headquarters in Washington, suggesting Trump could justify his removal on those grounds.

A recent Supreme Court ruling found that the president does not have the authority to remove Fed officials at will.

Trump noted that the $2.5 billion renovation at the Fed headquarters might constitute “cause” against Powell. The project is over budget, and Powell has requested an investigation by the Fed’s Inspector General.

Trump said, “Fraud is possible... So there may be something to it.” He added, “But I don’t think he’s doing a good job. He has a very easy task. Do you know what he should do? Lower the interest rates.”