Trump threatens to fire Treasury Secretary over Fed rate policy

U.S. President Donald Trump said he may fire Treasury Secretary Scott Bessent if he fails to secure another cut in the Federal Reserve’s benchmark interest rate.

Speaking at the U.S.–Saudi business forum in Washington, Trump sharply criticized Federal Reserve Chair Jerome Powell and urged the Treasury Secretary to “influence him.”

“To be honest, I’d gladly fire him. He is totally incompetent, and he should be sued for spending $4 billion on a small building,” Trump said, referring to the cost of the Fed headquarters renovation.

“You need to work on him, Scott. The only thing Scott is failing at is the Fed, because the rate is too high. And if you don’t fix it quickly, I will fire you,” Trump added, while also calling Bessent “a voice of reason” who opposes removing Powell.

Trump has repeatedly accused the Fed of being too slow to cut rates, claiming the central bank kept borrowing costs high intentionally.

The Fed lowered rates in September and October, and the benchmark now stands at 3.75–4%.