Kevin Hassett Urges Jerome Powell To Immediately Resign From Fed

Kevin Hassett, director of the National Economic Council, told Larry Kudlow on "Sunday Morning Futures" that it is time for Jerome Powell to leave the Federal Reserve Board. The former Fed chair has stayed on since his term ended, but Hassett called this arrangement completely unprecedented. He argued that stepping down immediately would respect the independence of the central bank and end a visible partisan divide.

"It's kind of like when there's a corporation that gets a new CEO. The old CEO doesn't sit in the office next to him, right?" Hassett said during the interview. He suggested Powell should "move on" so he can trust current members who believe deeply in keeping the Fed independent. This feud between President Trump and Powell started over interest rates but has now grown into a wider confrontation. The president wants to fill the seat if Powell steps down, yet his pressure campaign has intensified recently with public criticism of rate decisions and occasional personal attacks.

Powell was also investigated by the Department of Justice for cost overruns on multibillion-dollar renovation projects at its Washington, D.C., headquarters. No charges were brought in that case. U.S. Attorney General Todd Blanche confirmed the Justice Department would not reopen a criminal investigation into Powell. Fox Business reached out to Powell for comment but did not immediately hear back. The final verdict is in for the Fed's troubled renovation and Jerome Powell as Trump's economic vision comes into focus.