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Can Donald Trump fire Jerome Powell, US Federal Reserve chair?

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Can Donald Trump fire Jerome Powell, US Federal Reserve chair?

President Donald Trump is sending mixed messages about whether he will fire Federal Reserve Chair Jerome Powell.

Trump said on July 16 he is “not planning on doing anything” when asked if he would fire Powell. However, he also said he doesn’t “rule out anything” and mentioned a renovation project with ballooning costs.

“I think it’s highly unlikely unless he has to leave for fraud,” Trump said. “And it’s possible there’s fraud involved with the $2.5, $2.7 billion renovation. This is a renovation, how do you spend $2.7 billion? And he didn’t have proper clearance.”

The Federal Reserve has been undergoing building renovations since 2021 on a project that the board that controls the Fed first approved in 2017. The project’s cost of $2.5bn is about $600m above the original budget, according to The Associated Press.

The cost has increased because of design changes, increasing labour and material costs and “unforeseen conditions”, such as “more asbestos than anticipated”, the Fed said in an FAQ.

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But Trump’s administration seems to be using the renovation as a possible reason to oust Powell. Russ Vought, director of the Office of Management and Budget, sent Powell a July 10 letter saying the project is “out of compliance with the approved plan” and “in violation of” the National Capital Planning Act, which outlines how agencies can make changes to federal buildings.

Trump’s feud with Powell isn’t new. For months, the president has criticised Powell, whom he appointed to the role in 2017, for refusing to drop interest rates. The Fed raised interest rates in 2022 and 2023 during former President Joe Biden’s administration as a response to inflation.

Since Trump entered the White House in January, he has told Powell to resign and threatened to fire him.

“If I want him out, he’ll be out of there real fast, believe me,” Trump said in April. “I’m not happy with him.”

In November, after the 2024 election, reporters asked Powell if he would step down or whether he thought Trump had the authority to fire him.

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“Not permitted under the law,” Powell said.

Trump spoke to a group of Republican lawmakers on July 15 about firing the chair, several news organisations reported. Trump showed lawmakers a draft letter firing Powell, The New York Times reported.

Trump denied having written a letter.

“No, I talked about the concept of firing him. I said, ‘What do you think?’ Almost every one of them said I should,” Trump said. “But I’m more conservative than they are.”

While Trump attributed his reticence to fire Powell to his “conservatism”, the bigger impediment is a question of legality. Here’s why.

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The sculpture of an eagle looks out from behind protective construction wrapping on the facade as the Federal Reserve Board building undergoes both interior and exterior renovations, in Washington, on October 23, 2023 [J Scott Applewhite/AP]

What is the role of the Federal Reserve; who appoints its chair?

The Federal Reserve is the country’s central bank. Its responsibilities include setting interest rates and supervising and regulating banks. It was created in 1913 as part of the Federal Reserve Act and is run by an independent board of governors. The seven governors that make up the board are nominated by the president and confirmed by the Senate. The president selects the chair and two vice chairs from among the seven, according to the Congressional Research Service.

While talking to reporters, Trump appeared to overlook that he was the person who nominated Powell to be the chair in 2017: “I’m surprised he was appointed,” Trump said. “I was surprised, frankly, that Biden put him in and extended him.”

In 2021, Biden nominated him for a second four-year term, which is set to end in May 2026. After that, Powell can remain on the board of governors until January 2028.

Can the president fire the Federal Reserve chair?

Unlike other government agencies, the Fed has a lot of independence from Congress and the White House, the Congressional Research Service said in a January report.

According to the report, economists have justified the independence, saying that decisions about monetary policy shouldn’t be influenced by political pressures. To ensure Fed accountability, the chair testifies before Congress, much like other government agencies.

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The Fed chair can be removed “for cause by the President”, according to the law. This refers to “inefficiency, neglect of duty, or malfeasance in office”, according to a Supreme Court decision about the Federal Trade Commission.

In May, the Supreme Court ruled on Trump’s authority to fire members of two different independent agencies. In its 6-3 ruling, the Court granted the Trump administration’s emergency request to fire the heads of the agencies while the case over the legality of firing them played out in the courts.

In its opinion, the Supreme Court addressed the Fed, saying its ruling didn’t affect the agency.

“The Federal Reserve is a uniquely structured, quasi-private entity that follows in the distinct historical tradition of the First and Second Banks of the United States,” the Supreme Court said.

Some legal experts question the legality of Trump firing Powell. Any move to oust him would likely end up in the courts.

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Peter Conti-Brown, a professor of financial regulation at the University of Pennsylvania, said the Fed’s building renovation costs aren’t “cause” for Powell’s dismissal.

“There is no factual basis to support any conclusion that the cost overruns on the renovation project constitute anything like fraud or gross negligence,” Conti-Brown said. “Had Powell committed fraud, in this context or any other, there could well be a case for his removal.”

Conti-Brown said that Trump has long talked about wanting Powell’s removal. A court may consider Trump citing the renovation’s budget as “pretext” for his firing – a legal term used to describe a false reason an employer gives for firing an employee in order to cover the real reason, Conti-Brown said.

“Courts evaluating any attempted removal after the fact will assess both the animus and pretext very heavily against President Trump,” Conti-Brown said.

However, it is unclear how courts would react because “this is uncharted legal territory”, Jeremy Kress, a former Fed banking regulator who is a faculty director of the University of Michigan’s Center on Finance, Law and Policy, told The New York Times.

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Lev Menand, a legal scholar at Columbia University, agreed with Kress.

“In normal times, I would say Powell wins 10 times out of 10,” Menand told The New York Times. “But these aren’t normal times, because this court has shown that it is willing to look the other way when the president engages in illegal conduct and it is willing to construe the president’s power under the Constitution as so broad as to allow the president to flout laws.”

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China Box Office: ‘Zootopia 2’ Remains on Top, ‘Avatar: Fire and Ash’ Places Third

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China Box Office: ‘Zootopia 2’ Remains on Top, ‘Avatar: Fire and Ash’ Places Third

China’s theatrical market cooled further in the Jan. 9–11 frame, with Disney’s “Zootopia 2” holding on to the No. 1 spot for a second consecutive weekend after it reclaimed pole position last week.

“Zootopia 2” added RMB49.1 million ($6.9 million), according to Artisan Gateway, lifting its cumulative total to RMB4.31 billion ($607.2 million).

Maoyan Movie’s crime thriller “The Fire Raven” stayed close behind in second place, earning $6.8 million. The film continued to show solid traction, pushing its running total to $42.3 million after less than two weeks in release. Directed and written by Sam Quah, the film stars Peng Yuchang, Alan Aruna and Chang Ning and follows the reopening of a long-dormant murder case that exposes a wider network of corruption and revenge.

James Cameron’s sci-fi epic “Avatar: Fire and Ash” moved to third, grossing $6.5 million over the weekend. The 20th Century Studios release has now reached $146.6 million in China.

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Huace Film & TV’s “Back to the Past” placed fourth with $4.9 million, taking its cumulative haul to $33.7 million. The feature film adaptation of Hong Kong broadcaster TVB’s 2001 historical sci-fi series “A Step Into the Past” is produced by Louis Koo‘s One Cool Film Production, with Koo serving as producer. The project reunites the principal cast from the original television series 24 years after it first aired. Koo stars alongside Raymond Lam, Jessica Hsuan, Sonija Kwok, Joyce Tang and Michelle Saram, all reprising their original roles. New cast members include Bai Baihe, Michael Miu and Louis Cheung. The film marks the final screen appearance of the late Dick Liu Kai-chi.

Rounding out the top five was Chuanqiren Media’s family drama “Unexpected Family,” which collected $900,000 million and stands at $5.5 million to date. The comedy-drama is co-written and directed by Li Taiyan and centers on a young man who leaves his small town for Beijing and ends up entangled with an elderly man with Alzheimer’s who mistakes him for his son. The film stars Jackie Chan, Peng Yuchang, Zhang Jianing and Pan Binlong.

Overall, the China box office generated $31.6 million for the weekend. Year-to-date takings for 2026 have reached $162.4 million, running 9.9% ahead of the same period last year, though the market is clearly settling into a quieter post-festive rhythm with an eye on the Lunar New Year holiday next month when several big ticket releases are expected to bow.

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Five severed heads found hanging on Ecuador beach amid escalating gang clashes

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Five severed heads found hanging on Ecuador beach amid escalating gang clashes

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Five severed human heads were found hanging from ropes on a beach in southwestern Ecuador Sunday in a gruesome display linked to ongoing gang violence sweeping across the country, according to reports.

The killings came amid a wave of bloody violence tied to drug trafficking and organized crime, which has surged across Ecuador in recent years.

The Associated Press reported that the grim discovery underscores the tactics used by criminal groups competing for control of territory and trafficking routes, especially along the country’s coastline.

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Drug trafficking gangs leave five human heads on Ecuador beach with a threatening message to fishermen, police said, as violence surges along the country’s coastal trafficking routes. (Kike Calvo/Universal Images Group via Getty Images)

Police said the heads were found on a tourist beach in the small fishing port of Puerto Lopez, in Manabi province.

The images shared by Ecuadorian media and on social media showed the severed heads tied with ropes to wooden poles planted in the sand, with blood visible at the scene.

A wooden sign left beside the heads carried a threatening message aimed at alleged extortionists targeting local fishermen.

The message warned those demanding so-called “vaccine cards” protection payments commonly extorted by gangs that they had been identified, the report said.

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Members of the Marines detain a suspect during security operations in southern Guayaquil, Ecuador on October 19, 2021. – Ecuador’s President Guillermo Lasso on October 19 declared a state of emergency in the country grappling with a surge in drug-related violence. (AFP via Getty Images)

Authorities said the display was likely the result of a conflict between criminal groups operating in the area.

Drug-trafficking networks with links to transnational cartels are active along Ecuador’s coast and have used fishermen and their small boats to transport illicit shipments, according to local police.

President Daniel Noboa launched an armed campaign against gangs and declared states of emergency in several provinces, including Manabi, deploying the military to support police operations.

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Despite his efforts, violence has continued to escalate with police increasing patrols and surveillance in Puerto Lopez following recent massacres in the province, the Associated Press said.

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Ecuador’s President Daniel Noboa addresses supporters after early returns show him in the lead in the presidential election runoff at his family home in Olon, Ecuador, Sunday, April 13, 2025.  (AP Photo/Fernando Vergara)

In 2025, at least nine people, including a baby, were killed there in an attack that authorities blamed on clashes between local gangs also.

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As previously reported by Fox News Digital, in 2025, infighting between factions of a gang vying for control over territory in Ecuador’s largest city, Guayaquil, left nearly two dozen people dead.

Ecuador ended the year with a record homicide rate of 52 per 100,000 people, according to the Organized Crime Observatory, making it the deadliest year on record.

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UN top court set to open Myanmar Rohingya genocide case

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UN top court set to open Myanmar Rohingya genocide case

The United Nations’s top court is set to open a landmark case accusing Myanmar of committing genocide against its mostly Muslim Rohingya minority.

The trial on Monday is the first genocide case that the International Court of Justice (ICJ) will take up in full in more than a decade, and its outcome will have repercussions beyond Myanmar, likely affecting South Africa’s petition against Israel over its genocidal war on Gaza.

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The hearings will start at 09:00 GMT on Monday and span three weeks.

The Gambia filed the case against Myanmar at the ICJ, also known as the World Court, in 2019, two years after the country’s military launched an offensive that forced some 750,000 Rohingya from their homes and into neighbouring Bangladesh.

The refugees recounted mass killings, rape and arson attacks.

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A UN fact-finding mission at the time concluded that the 2017 offensive had included “genocidal acts”. But authorities in Myanmar rejected the report, saying its military offensive was a legitimate counterterrorism campaign in response to attacks by alleged Rohingya armed groups.

“The case is likely to ‍set critical precedents for how genocide is defined and how it can be proven, and how violations can be remedied,” Nicholas Koumjian, head of the UN’s Independent Investigative Mechanism for Myanmar, told the Reuters news agency.

‘Renewed hope’

In Bangladesh’s Cox’s Bazar, Rohingya refugees said they hoped the genocide case would help bring justice.

“We want justice and peace,” said 37-year-old Janifa Begum, a mother of two. “Our women lost their dignity when the military junta launched the eviction. They burned villages, killed men, and women became victims of widespread violence.”

Others said they hoped the case would bring them real change, even though the ICJ has no way to enforce any judgement it might make.

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“I hope the ICJ will bring some solace to the deep wounds we are still carrying,” said Mohammad Sayed Ullah, 33, a former teacher and now a member of the United Council of Rohingya, a refugee organisation.

“The perpetrators must be held accountable and punished,” he said. “The sooner and fairer the trial is, the better the outcome will be… then the repatriation process may begin.”

Wai Wai Nu, the head of Myanmar’s Women’s Peace Network, said the start of the trial “delivers renewed hope to Rohingya that our decades-long suffering may finally end”.

“Amid ongoing violations against the Rohingya, the world must stand firm in the pursuit of justice and a path toward ending impunity in Myanmar and restoring our rights.”

The hearings at the ICJ will mark the first time that Rohingya victims of the alleged atrocities will be heard by an international court, although those sessions will be closed to the public and the media for sensitivity and privacy reasons.

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“If the ICJ finds Myanmar responsible under the Genocide Convention, it would mark a historic step in holding a state legally accountable for genocide,” said Legal Action Worldwide (LAW), a group that advocates for Rohingya rights.

Separate ICC case

During the preliminary hearings in the ICJ case in 2019, Myanmar’s then-leader, Aung San Suu Kyi, rejected The Gambia’s accusations of genocide as “incomplete and misleading”. She was later toppled by the military in a coup in 2021.

The power grab plunged Myanmar into chaos, with the military’s violent crackdown on pro-democracy protests sparking a nationwide armed rebellion.

While Myanmar’s military continues to deny the accusations of genocide, the opposition National Unity Government (NUG), established by elected lawmakers after the 2021 coup, said it has “accepted and welcomed” the jurisdiction of the ICJ, adding that it has “withdrawn all preliminary objections” previously submitted on the case.

In a statement ahead of the hearing, the NUG acknowledged the government’s failures, which it said “enabled grave atrocities” to take place against minority groups. It also acknowledged the name Rohingya, which the previous elected government, including Aung San Suu Kyi, had refused to do.

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“We are committed to ensuring such crimes are never repeated,” the NUG said.

Myanmar’s military leader, Senior General Min Aung Hlaing, is facing a separate arrest warrant before the International Criminal Court (ICC) for his role in the persecution of the Rohingya.

The ICC prosecution said the general “bears criminal responsibility for the crimes against humanity of deportation and persecution of the Rohingya, committed in Myanmar, and in part in Bangladesh.”

Additionally, the Burmese Rohingya Organisation UK (BROUK) has accused the military government of “intensifying genocide” against the Rohingya since taking power in 2021.

Myanmar is currently holding phased elections that have been criticised by the UN, some Western countries and human rights groups as not free or fair.

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