Trump Calls Federal Reserve Chair Jerome Powell A ‘Major Loser’ As Stock Market Continues To Plummet

President Donald Trump launched a new attack on Federal Reserve Chairman Jerome Powell on Monday, calling him a “major loser” and demanding that interest rates be cut immediately to avoid an economic slowdown.

In a post on Truth Social, Trump wrote, “‘Preemptive Cuts’ in Interest Rates are being called for by many. With these costs trending so nicely downward, just what I predicted they would do, there can almost be no inflation, but there can be a SLOWING of the economy unless Mr. Too Late, a major loser, lowers interest rates, NOW,” referring to Powell. 

The U.S. stock market has lost over $1.1 trillion in value since Trump took office in January.

Trump claimed the U.S. is experiencing “virtually no inflation,” arguing that falling energy prices and overall costs support immediate monetary easing. 

The attack comes amid reports that Trump and his team are exploring whether he has legal authority to fire Powell before his term ends in May 2026. Powell has asserted that the president cannot legally remove him.

Evercore ISI Vice Chairman Krishna Guha said any such move would rattle markets. He told CNBC, “If you start to raise questions about Federal Reserve independence, you are raising the bar for the Federal Reserve to cut. If you actually did try to remove the Federal Reserve chairman, I think you would see a severe reaction in markets with yields higher, dollars lower and equities selling off.”

Markets already showed signs of turmoil on Monday. The Dow dropped nearly 750 points in early trading, the Nasdaq fell 2.6%, and the U.S. dollar hit its lowest level since 2022. Meanwhile, gold surged to a record high as investors sought safe assets.