US Treasury chief says no reason for Fed chair to step down
AFP | Washington
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US Treasury Secretary Scott Bessent said Tuesday that he did not see a reason for Federal Reserve Chair Jerome Powell to resign immediately, a day after calling for a sweeping review of the Fed.
Bessent's comments in a Fox Business interview come as Powell faces growing pressure from Donald Trump's administration to slash interest rates, with the president recently ramping up attacks against the independent central bank chief over the Fed's $2.5 billion renovation project.
"There's nothing that tells me that he should step down right now," Bessent said, referring to Powell.
He noted that Powell's term as Fed chair ends in May 2026, and that Powell should see out his full term if he wants to.
But if the Fed chief wanted to leave early, he should as well, Bessent added.
Late Monday in a social media post, Bessent called for the Fed to conduct an "exhaustive internal review of its non-monetary policy operations," accusing the central bank of mission creep.
Bessent, in his post on X, said the Fed's "independence is a cornerstone of continued US economic growth and stability."
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