Trump Ready to Make HUGE Change to the Federal Reserve

Join BiggerPockets for FREE 👇

Build Wealth in ANY Market Cycle with “Recession-Proof Real Estate Investing”:

Find Investor-Friendly Lenders:

Trump May Consider Shaking Up the Federal Reserve:

Connect with Dave:

Trump isn’t President yet, but he’s already preparing to battle the Federal Reserve. Like many Fed members, Trump believes that the Fed waited too long to raise interest rates and is now causing more economic pain by not letting them fall. Trump’s main target? Fed Chair Jerome Powell, who, funnily enough, was nominated by Trump during his first presidential term. But is Powell the problem, and would he step down if asked?

Powell may have more job security than many Americans think, and replacing him before his term ends could be challenging. Regardless, if Trump believes Powell’s position puts the American economy in harm’s way, he may put pressure on Powell to quit. With Powell’s term nearing its end, would it be better to wait for him to step down peacefully?

00:00 Will Trump Fire the Fed?
00:56 The Fed's Big Mistake
02:09 "Fed Independence"
03:27 Get Rid of Jerome Powell?
05:04 Powell Isn't Going Anywhere

[roxannewimberly]

The president does not have jurisdiction over Powell - he tried before, can’t do it. The federal reserve is not managed by the president

[CMVBrielman]

Forget the issue of critics and supporters of fed independence. There’s also a strong argument that they’re not independent already.

[christobar]

Inflation is great for people who already have all their assets and don't need to spend a large portion of their income on living expenses.

[Joe-ic]

It’s a two way street it can be used to get a president reelected if it doesn’t remain independent, but it can also be used to keep a current president from being reelected should the fed decide to get involved in politics, and honestly with nearly everyone including quite a few from his own party hating on president Trump during his first term and the fact that presidents take the heat for the economy regardless the reason for it’s condition it’s understandable his desire to have some say, and you did point out that he was probably right in his opinion. However, that’s as far as it should go. The Fed needs to remain independent, but like I said it’s a two way street. What makes the fed work is that the American people believe in it. If it is believed by the American people that the fed is playing politics, well that would probably be just as bad if not worse than either party trying to remove the feds independence.

[aprilvancleve]

Ahh, theres that word again. Unprecedented. Can't say I mised that.

[albreuer]

It’s gonna be very interesting seeing what’s going to unfold in the next 4 years ? Hopefully it’s all for the better . We will see