Former US President Donald Trump has stirred fresh controversy with his bold suggestion to replace Federal Reserve Chair Jerome Powell if he wins the 2024 election. The proposal has drawn sharp criticism from Senate Republicans, who fear it could destabilise the US economy.
Republican Senators Push Back
Several prominent GOP senators have publicly opposed Trump's idea, arguing that such a move would undermine the Federal Reserve's independence. "The Fed must remain free from political interference," said one senior Republican lawmaker, echoing widespread concerns in Washington.
Economic Stability at Risk
Financial experts warn that Trump's plan could create uncertainty in global markets. "The Federal Reserve's credibility is crucial for economic stability," noted a Wall Street analyst. "Politicising its leadership would send shockwaves through financial systems worldwide."
Trump's Longstanding Feud with Powell
This isn't the first clash between Trump and the Fed chair. During his presidency, Trump repeatedly criticised Powell's monetary policies, despite having appointed him to the position in 2018. The renewed attack suggests this conflict remains unresolved.
What This Means for 2024
As Trump positions himself for another White House bid, his stance on the Federal Reserve could become a key campaign issue. With inflation still a major concern for voters, the debate over monetary policy is likely to intensify in coming months.
