If the president Donald Trump Federal Reserve tries to set fire to the president Zerome polyThis will almost certainly shut down a court fight that legal and policy experts say that with uncertain effects on the central bank, financial markets and economy, it is bound to be dirty.

The position of the temple is an innumerable questions for which there is no easy answer, given that no President has ever tried to ignore a fed chair.

Of them:

• Does Trump have the right to remove Powell? The answer is almost certainly not, not without completing the legal limit of the “cause”. However, with increasing doubts in Washington and Wall Street, which is using the President, raises additional questions on it. Criticism on the expansion of Fede As an excuse to establish that situation.
• What happens beyond the legal point of view? Most of the people familiar with the situation say that Pavel would sue if Trump tries to dump it. The possibility of the case will be the head of the Supreme Court, which recently ruled that the semi-government Fed is a special unit, which is a special unit by the governors’ moves about arbitrary personnel. But it did not address the surrounding issues.
• Beyond a trial, what else can Powell do? If he is fired as the Chairman of the Board of Governors of the Federal Open Market Committee, which is the Fed Body that determines the interest rates, then simply can maintain Powell as a chair, which gives him a continuous impact on monetary policy. The FOMC chair has historically been the chair of the Fed Board, but this is not a requirement.
• Does Trump really want to fire Powell, or is he just installing him as a sacrifice of a sacrifice that the economy should go to the south? The President has shown himself to calculate a clever and repeated political player, and being around as a punching bag can be useful as a significant mid-term election approach.

Former Fede Monetary Affairs Director and now a Yale Professor Bill English said, “Here the extraordinary presidents are going forward and back and discussing vigorously whether he can set the Fed Chair on fire or try to set fire to the fed chair.” “Of course, we have never gone through it, so we do not legally know how it will work and how the courts will look at it. Therefore, I think it is all that we have not seen before, and increase real uncertainty.”

Demand for more low interest rates after an expanded campaign of advertising home -winning on Powell, Trump met with members of Republican Congress On Tuesday evening and asked him if he should fire in a fed chair, according to a senior administration official.

The members of the GOP showed their support for the move, indicating him that he would move forward on Powell soon, “the official said.

However, the news of the meeting did not break at the earliest, then Trump told reporters that he was not considering a step, saying that it is “extremely likely”, as well as wondering whether the alleged mismanagement of the expansion of $ 2.5 billion could achieve qualification as a reason.

Later reports suggested that Trump’s lawyers indicated that they would have a difficult time to legally dismiss Powell. Supreme Court Governance in Trump vs Wilcox This year the fed is called a “uniquely structured, semi-private unit”, whose governors enjoy insulation by removing them due to political or policy reasons.

Of course, this does not mean that Trump will not try.

During the Biden administration, former Assistant Attorney General Jonathan Kunter said, “This is legally a very high bar, but there is really no historical example for it.” “So it will prosecute in the court, perhaps a quite a quite a quite part of a circus, but, yes, the standard is very high. It should be for the reason, and it should be for neglect, malfunction, misuse.”

Trump wants Rapid low interest rateAnd he wants them now, cursed economic results.

The President was in an attack again on Friday, railing against Powell and his fellow central bankers. One in Truth social postTrump accused Powell and FOMC officials “are taking out the housing market with their high rates, making it difficult for people, especially young, to buy a house. He is actually one of my worst appointments.”

Recently, Trump personally reserved most of his criticisms for Powell. But on Friday, he also said, “The Fed Board has done nothing to stop this ‘Sunnaskul’ from hurting so many people. In many ways the board is equally guilty!” Finally, using his surname for Powell, he said, “I can’t tell you how late it is too late – so bad for our country!”

In addition to Powell, Trump has two appointments on the board dating back in his first term: Governor Mitchell Boman and Christopher Waller both said that they are bending to cut a rate when they meet FOMC in late July.

Beyond both of them, however, other members No hunger for ease Before the September meeting. The FOMC has 12 voters, and the chair is only one of them. Fed watches, including English serving as FEMC Secretary, see the policy makers pushing in a corner, where the bite seems to meet Trump’s demands by bite in July.

It is a part of a major concern on Wall Street, which is on the prestigious decline on Fed faces Trump enhances its efforts as a white house Using politics to influence monetary policy.