Himes: White House warning of 'massive market reaction' if Trump fires Powell

Source: The Hill

07/20/25 5:15 PM ET


Rep. Jim Himes (D-Conn.) said Sunday that a White House insider is warning President Trump of a “massive market reaction” if he fires Federal Reserve Chair Jerome Powell.

“I mean, what happens if there’s a tweet that says the Fed chair is gone?” CBS’s Margaret Brennan asked Himes on “Face the Nation.”

“Well, interestingly, inside the White House — and I don’t know who it is — my guess is, it’s maybe the Treasury secretary — is saying — and this is a very difficult thing to say to a person like Donald Trump — that, if you fire the Fed chair, either illegally, which they’re happy to do, or because you trump up some baloney-like charge associated with a renovation of the headquarters, there is going to be a massive market reaction, because you cannot lie to the capital markets,” Himes responded.

Trump has recently grasped on to the Federal Reserve’s multibillion-dollar makeover as a possible way to finally oust Powell.

Read more: https://thehill.com/business/5411006-himes-warning-trump-fires-powell/