Trump, Fed chief Powell bicker during tense central bank visit
WASHINGTON
Federal Reserve Chairman Jerome Powell, right, takes off his hard hat as President Donald Trump, center, and Sen. Tim Scott, R-S.C., look at ongoing construction at the Federal Reserve, Thursday, July 24, 2025, in Washington. (AP Photo/Julia Demaree Nikhinson)
Donald Trump and Federal Reserve chairman Jerome Powell appeared together for a tense meeting on July 24 as the president toured the central bank after ramping up his attacks on its management of the economy.
Trump, who wants to oust Powell for refusing to lower interest rates but likely lacks the legal authority to do so, has threatened to fire the Fed chief over cost overruns for a renovation of its Washington headquarters.
During a brief but painfully awkward exchange in front of reporters during a tour of the building, the pair bickered over the price tag for the makeover, which Trump said was $3.1 billion.
The actual cost of the facelift has been put at $2.5 billion and Powell was quick to correct the president, telling him: "I haven't heard that from anybody."
Trump produced a sheet of paper apparently listing construction costs and was told curtly that he was including work on the William McChesney Martin Jr. Building, which was not part of the project.
"You're including the Martin renovation... you just added in a third building," Powell scolded.
Trump stuck to his guns, saying it was part of the overall redevelopment. Powell shot back: "No, it was built five years ago. We finished Martin five years ago... It's not new."
Trump moved on but the tense atmosphere between the pair was almost palpable, with the Republican leader unaccustomed to being contradicted live on air.
Trump has criticized Powell for months over his insistence on keeping the short-term interest rate at 4.3 percent this year.
Powell says he is monitoring the response of the economy to Trump's dizzying array of import tariffs.
But Trump has angrily accused Powell of holding back the economy, calling the man he nominated in his first term "stupid" and a "loser."
