President Donald Trump on Wednesday called for Federal Reserve Chair Jerome Powell to resign immediately after Bill Pulte, head of Fannie Mae and Freddie Mac, demanded a congressional investigation into Powell’s recent testimony. Trump used his usual nickname for Powell, “Too Late,” in a Truth Social post linking to a Bloomberg report about the accusations.
Pulte claims Powell lied under oath during a Senate Banking Committee hearing last week, specifically about the Fed’s controversial $2.5 billion renovation plan for its Washington, D.C., headquarters. Powell had told senators that the more extravagant renovation items were from older plans that had been dropped.
He also said current expenses—such as fixing elevators and replacing marble fixtures—were part of necessary maintenance. Pulte rejected these explanations, calling Powell’s testimony “deceptive” and stating it warranted removal “for cause.”
The Federal Housing Finance Agency director also accused Powell of political bias and downplaying the renovation’s true scope, which Powell had earlier described as a “serious” overhaul of the nearly century-old building. Pulte has repeatedly warned that the Fed’s high interest rates are harming the housing market.
Trump’s latest criticism follows his long-standing feud with Powell, dating back to 2018 when Powell took over the Fed. Trump has repeatedly condemned Powell for being slow to adjust interest rates and has even called him “the enemy.”
In April, Trump demanded Powell’s “termination” for not lowering rates quickly enough. Powell’s recent warnings about the economic impact of Trump’s tariffs only intensified tensions.
Despite Trump’s calls for removal, Powell has stated that firing a Fed chair is “not permitted under the law” and intends to serve out his term, which runs until May 2026. Trump has said he will not reappoint Powell for a third term unless he believes Powell is “doing the right thing.”
