- Trump says he could fire Powell “real fast” as Polymarket odds spike.
- Hassett confirms the White House is reviewing legal options to remove Powell.
- CME data shows a high chance the Fed will cut rates at its June meeting.
Crypto traders on prediction platform Polymarket are raising their bets that President Donald Trump may move to oust Federal Reserve Chair Jerome Powell this year.
The odds of Powell being removed hit an all-time high of 21% this week, up from around 15% just days earlier.
The spike follows a renewed wave of criticism from Trump, who posted on Truth Social that “Powell’s termination cannot come fast enough.” He accused the Fed chair of failing to act on interest rates and nicknamed him “Too Late Powell.”
“If I want him out of there, he’ll be out real fast, believe me,” Trump told reporters Thursday. “The Fed really owes it to the American people to get interest rates down. That’s the only thing he’s good for.”
After Powell warned that Trump’s revived global tariff plan could fuel inflation, White House economic adviser Kevin Hassett said the administration is reviewing whether it can legally remove Powell before his term expires in May 2026.
Polymarket’s bets reflect a growing belief that Trump may attempt to challenge central bank independence. However, many believe this would be both legally murky and politically risky.
“I do not believe that the president of the United States should come in and unilaterally fire the Fed chair,” said investor and podcaster Anthony Pompliano in a recent Q&A broadcast on X. “Just because somebody else is doing something wrong doesn’t mean that you should do something wrong. It’s a very bad precedent.”
Senator Elizabeth Warren has also warned of the consequences. “If Chairman Powell can be fired by the president of the United States, it will crash markets,” she told CNBC.
Meanwhile, the market is watching the Fed’s next move on rates. CME’s FedWatch tool shows a near 62% chance of a rate cut by June.
Crypto market movers
- Bitcoin has gained 0.8% over the past 24 hours and is trading at $85,340.
- Ethereum is also up 0.8% in the same period to $1,605.
What we’re reading
- Ethereum is faster and cheaper than ever to use. Why aren’t investors excited? ― DL News
- U.S. Bitcoin Mining Was on the Rise. Then Came Trump’s Tariffs ― Unchained
- Stablecoins flipped Visa in 2024 ― Milk Road
- Arizona is poised to approve first Bitcoin reserve bill as veto threat looms ― DL News
Kyle Baird is DL News’ Weekend Editor. Got a tip? Email at kbaird@dlnews.com.
