President Donald Trump on Thursday was face-to-face with Federal Reserve Chairman Jerome Powell during a bizarre visit to the the Federal Reserve building in Washington, DC.
It marked a rare public appearance between Trump and a man he’s consistently harangued for failing to follow his instructions to lower interest rates.
The unlikely pair bickered lightly – wearing hardhats and before cameras – about the massive $2.5 billion project to renovate the Fed building.
When the president tagged the total project cost at close to $3.1 billion, Powell demurred, noting that Trump’s calculation included a building that was finished five years ago.
White House officials maintained afterward the $3.1 billion figure is the cost of the entire project.
Trump asked Powell if he expected construction costs to continue rising.
‘Don’t expect them, we’re ready for them, but we have a little bit of a reserve that we may use,’ Powell replied, ever so gently rebutting the cantankerous president standing next to him.
Trump has complained about the massive $2.5 billion project to renovate the building, as he and his staff continue hammering Powell for the cost of the renovation project.
The visit served as an awkward display of political theatre as the Federal Reserve values its independence, and as Trump has ruthlessly attacked the chairman and at times, threatened his job.
Donald Trump appears with Federal Reserve Jerome Powell to discuss cost overruns at the Federal reserve building
A view shows the Marriner S. Eccles Federal Reserve Board Building as a massive renovation continues on the building and the 1951 Constitution Avenue Building
Trump arrived with Republican Senators Tim Scott, Thom Tillis, and OMB Director Russ Vought, Chairman of Fannie Mae and Freddie Mac Bill Pulte as well as his Appointees to the National Capital Planning Commission, Deputy chief of staff James Blair and White House Staff Secretary Will Scharf.
A memorable moment came when Trump playfully referred to the main policy difference driving the wedge between the two men.
‘Well I’d love him to lower interest rates,’ Trump replied to questions from the press, slapping Powell on the back. ‘Other than that, what can I tell you?’
The line even snagged a brief smile from Powell, who has resisted Trump’s pressure thusfar.
‘We would be helped if interest rates would come down but we’re going to see how the board rules on that soon,’ he added.
When asked by reporters if he was considering firing Powell, Trump reined in his previous threats, saying he did not think his ouster necessary.
‘I just don’t think it’s necessary, I believe he is going to do the right thing. It may be a little bit too late but I believe he is going to do the right thing,’ he said and added, ‘I think everybody knows what the right thing is.’
The president has repeatedly criticized Powell for refusing to cut interest rates, even as inflation has slowed.
‘He’s a moron,’ Trump said on July 1.
The Washington Monument is visible beyond the 1951 Constitution Avenue Building as a massive renovation continues on the building and the Marriner S. Eccles Federal Reserve Board Building
President Donald Trump, Federal Reserve Chair Jerome Powell, and U.S. Senator Tim Scott (R-SC) tour the Federal Reserve Board building
‘You talk to the guy, it’s like talking to a nothing. It’s like talking to a chair,’ he added on July 15. ‘No personality, no high intelligence, no nothing.’
Trump has since encouraged Powell to step down.
‘I’d love it if he wants to resign,’ Trump said on July 16, repeating earlier criticisms of him acting ‘too late’ on inflation.
Powell has said the Federal Reserve continues to monitor the results of Trump’s tariffs on inflation, before an interest rate cut could be approved.
The increased pressure on Powell over the renovation project appears a familiar tactic by Trump to give him a pretense to fire the chairman.
The stock market fell when Trump floated the idea of firing Powell to Republican senators, but he later told reporters he would not do so.
The Federal Reserve briefed reporters ahead of Trump’s visit, as they blamed tariffs and inflation for the increased cost of renovating the building, as well as the increased cost of materials and security features.
The renovation of the Marriner S. Eccles building and its adjacent Federal Reserve East Building was initially estimated at $1.9 billion in 2021, but costs have ballooned since construction began.
Trump recalled that he successfully renovated the Old Post Office hotel in Washington, DC for $200 million, even though it was a historic building.
‘This is a very expensive job. It got out of control and that happens, it’s a shame,’ he said.
The project is now expected to be finished by the fall of 2027.
This article was originally published by a www.dailymail.co.uk . Read the Original article here. .