Amidst Trump administration pressure and speculation, Congresswoman Luna claims Federal Reserve Chair Jerome Powell's dismissal is imminent. Treasury

President Donald Trump swore that he wouldn’t attempt to fire Federal Reserve Chair Jerome Powell before his term expires next spring. A new White House investigation of cost overruns at the Fed’s headquarters has reignited speculation that he just might try.

The Trump administration has formally begun the search for a successor to Federal Reserve Chair Jerome Powell, whose term ends in 2026. Treasury Secretary Scott Bessent confirmed the process is underway,

Kevin Hassett, one of President Donald Trump’s longest-serving economic aides, is the early frontrunner to replace Jerome Powell as Federal Reserve chief next year, according to people familiar with the process.

Markets either don't believe the White House attempts to force out the Federal Reserve chair will succeed, or they assume it's all bluster. But there's good reason to be wary of the sort of uncertainty that renewed Fed-bashing may be building under the surface.

The White House uses an overbudget renovation of Fed headquarters to pressure Fed Chair Powell out of his job. Will it work? And does it even matter?

Inflation rose unexpectedly last month, official figures show, in a troubling sign for policymakers at the Bank of England. The consumer prices index (CPI) rose to 3.6pc in June, which was its highest level in more than a year, according to the Office for National Statistics.

His comments follow President Donald Trump’s intensified criticism of Federal Reserve Chairman Jerome Powell, accusing him of undermining the US economy with high interest rates, while simultaneously unveiling sweeping new tariffs targeting Canada, the European Union, Mexico, and Brazil.

If Trump breaks the long-standing central bank independence, he would make long-term debt holders question the Fed’s reliability