Pompliano warns that firing Powell could destabilise $30T market

Anthony Pompliano has warned that President Donald Trump’s threats to fire Federal Reserve Chair Jerome Powell could undermine the central bank’s independence and destabilise financial markets.

“I do not believe that the President of the United States should come in and unilaterally fire the Fed President,” stated Pompliano in an April 18 video, calling the idea “a very bad precedent.”

While acknowledging that the Federal Reserve appears politicised, Pompliano argued that removing Powell over policy disagreements would further erode its credibility.

“Where you have a disagreement and then the firing, I think that’s not really the area that we want to go into,” he said.

“Powell’s termination cannot come fast enough!” declared Trump in an April 17 social media post, renewing his public criticism of Powell.

Trump has repeatedly expressed frustration with Powell for not cutting interest rates, and his statements have sparked concern among investors and lawmakers.

“If Chairman Powell can be fired by the President of the United States, it will crash the markets,” told Senator Elizabeth Warren to CNBC.

Legal analysts have pointed out that the Federal Reserve chair can only be removed “for cause,” a standard meant to preserve the Fed’s independence.

“Our independence is a matter of law. We’re not removable except for cause,” affirmed Powell himself.

Trump’s advisers have reportedly cautioned that removing Powell could cause a significant financial downturn, with some warning that it could provoke a crisis comparable to the Great Depression.

Pompliano’s remarks reflect growing concern in the financial community that political interference in central bank leadership could trigger market volatility and damage confidence in the U.S. economic system.