US Fed chief says won’t resign if Trump asks

Jerome Powell, Federal Reserve Chairman

Federal Reserve Chairman Jerome Powell said on Nov. 7 that he will not step down if President-elect Donald Trump asks for his resignation.

During a press conference following the Fed's decision to cut interest rates, Powell was asked if he would comply with such a request. He responded, “No,” explaining that, under the law, the president lacks authority to dismiss or demote him.

Investors are closely watching the contentious relationship between the President-elect and the Federal Reserve Chair. Trump appointed Powell during his first term in 2017 but later criticized him, arguing that Powell was not reducing monetary policy rates quickly enough.

"I don't think I should be allowed to order it, but I think I have the right to put in comments as to whether the interest rates should go up or down," Trump said in an interview last month.