Federal Reserve Chair Jerome Powell urged public servants to prioritize integrity and honesty, as he faced personal attacks from President Donald Trump at a graduation ceremony at Princeton University.
Powell reminded graduates that their integrity is crucial in making life’s decisions. He also shared his own experiences navigating complex challenges, including the economic crisis sparked by the Covid-19 pandemic and high inflation.
The Fed chair has remained silent amid criticism from Trump, who has accused Powell of playing politics and called him a “fool” and “a major loser.” However, top administration officials have warned Trump that sacking Powell could lead to financial-market chaos.
In recent weeks, Fed officials have decided to keep interest rates steady due to uncertainty over Trump’s tariff policies. Despite this, Trump continues to pressure Powell to lower borrowing costs. The President recently tweeted a cryptic message suggesting he may “blow it again” if Powell doesn’t comply.
Powell has maintained that his hands are tied by the law and will not step down despite Trump’s demands. Fed officials have emphasized that they must wait for clearer economic conditions before making any decisions on interest rates.
Source: https://edition.cnn.com/2025/05/25/business/jerome-powell-fed-attacks-trump