President Trump and Federal Reserve Chair Jerome Powell are facing off over how the central bank will respond to the economic impact of the White House's trade war.

Trump and Powell appear to be locked on a collision course with each other as the Fed has maintained a pause in rate cuts in response to sticky inflation while Trump’s tariffs promise additional upward pressure on prices.

As Powell sounds the alarm over the stagflationary risks of Trump’s tariff policies, the president is calling for interest rate cuts and threatening to fire the Fed chief.

Trump spoke multiple times on Thursday about his desire to remove Powell from his position as chair of the Fed’s board of governors, which could be illegal as per a 90-year-old Supreme Court ruling.

“Powell’s termination cannot come fast enough!” Trump wrote in an early morning social media post, in which he accused the Fed chief of being late to cut interest rates and exhorting him to do so.

Later in the day, Trump stressed his ability to fire Powell despite the Fed chief's insistence that he cannot be fired and will not leave before the end of his term.

“If I want him out, he’ll be out of there real fast, believe me,” Trump said.

“Oh, he’ll leave. If I ask him to, he’ll be out of there,” Trump told reporters. “I don’t think he’s doing the job. He’s too late. Always too late. A little slow. And I’m not happy with him. I let him know it.”

While Trump has reportedly been having discussions about trying to fire Powell for months, experts told The Hill they think such a move would be too disruptive to Wall Street, which has already suffered through a massive tariff-driven sell-off.

“It will spook........

© The Hill