President Donald Trump has once again spooked markets by raising the prospect of prematurely replacing the chair of the Federal Reserve with someone who would more readily cut the central bank’s interest rate.
White House officials have even floated the idea of dismissing Jay Powell “for cause” over a $2.5bn renovation of the Fed’s Washington headquarters that the administration deems excessive.
Although the president has sought to downplay any threat to the Fed chair, the drumbeat of criticism has grown louder in recent days.
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