Trump Visits Federal Reserve Amidst Renovation

In a rare visit to the Federal Reserve, President Donald Trump confronted Federal Reserve Chair Jerome Powell over the renovation costs of the Fed’s headquarters. This marked the first time in two decades that a sitting president has visited the institution. The encounter took place while the building was under construction, with both Trump and Powell donning hard hats for the occasion. Before the tour, Trump informed reporters that his administration was scrutinizing the ongoing renovations at the Fed.

Dispute Over Renovation Budget

During the televised exchange, President Trump claimed that the renovation budget amounted to $3.1 billion. However, Powell quickly countered this assertion, stating he was unaware of such a figure and had not received any information from within the Fed to support it. The Federal Reserve has consistently maintained that the renovation costs are estimated at $2.5 billion.

Document Exchange and Clarification

The confrontation escalated when Trump produced a document from his jacket, presenting it to Powell. After a brief review, Powell returned the document, clarifying that Trump’s figures included an additional building that had been constructed five years prior and was not part of the current renovation project. Trump insisted on completing the renovations promptly and urged Powell to lower interest rates aggressively.

Ongoing Tensions Between Trump and Powell

The visit followed months of public criticism from Trump towards Powell, whom he accused of being slow to implement rate cuts. Despite Trump’s pressure campaign, Powell has refrained from engaging in social media disputes, emphasizing the Fed’s cautious approach in assessing the impact of tariffs on inflation.

Social Media Reactions and Future Implications

After his visit, Trump took to social media to express dissatisfaction with the pace of construction, suggesting it would have been preferable if it had never commenced. He also reiterated his desire for lower interest rates. Trump’s history of derogatory remarks towards Powell underscores ongoing tensions between the two leaders as they navigate economic policy challenges.