FED Shake-Up: Powell May Resign as Trump Eyes Major Rate Cut Overhaul

Pulte backs Powell’s rumored exit as Trump eyes a Fed shake-up to push rate cuts and boost market momentum.

Fridah Kangai
July 13, 2025
11:23 am

Fridah Kangai

Fridah Kangai is a dedicated crypto journalist with a sharp eye for market trends, blockchain innovation, and digital asset movements. She specializes in breaking down complex topics into clear, engaging stories for both seasoned investors and curious newcomers. With a passion for decentralization and a pulse on the ever-evolving crypto space, Fridah delivers timely, accurate, and insightful coverage. Her work bridges the gap between technology and everyday understanding in the world of cryptocurrency.

Powell’s rumored resignation sparks major reaction from Fannie Mae Chairman William J. Pulte.
Trump pushes for rapid interest rate cuts as markets hit record highs across tech and crypto.
Speculation grows over a Fed leadership change that could shift U.S. monetary policy in Trump’s favor.

Federal Reserve Chair Jerome Powell is reportedly considering stepping down amid rising tensions with President Donald Trump. William J. Pulte, Chairman of the Board for Fannie Mae and Freddie Mac, responded positively to the development.

In the statement, Pulte said that Powell’s resignation would be a good move for the country and the economy. He hopes that a change in leadership at the Fed will open up opportunities.

This is the case because there has been a long-running dispute between Powell and President Trump over the monetary policy path. Trump has on numerous occasions urged aggressive interest rate reductions to correspond to the strength of U.S. financial markets.

Statement from Chairman of the Board of Fannie Mae on Reports that Jerome Powell Is Considering Resigning

Washington, D.C. – "I'm encouraged by reports that Jerome Powell is considering resigning. I think this will be the right decision for America, and the economy will boom." pic.twitter.com/7FPe2zla3i
— Pulte (@pulte) July 11, 2025

Trump picked soaring technology, industrials, and crypto gains on TruthSocial, arguing that this is evidence in favor of lower rates. He demands that the Federal Reserve reduce rates by three percent.

Powell has remained stubborn and insists that the tariffs may trigger inflation even as consumer prices are moderated. He also questioned the declining U.S. dollar and its medium—and long-run consequences for price stability.

The rift between the two has provoked speculation that Powell is likely to step down from his position at the Federal Reserve in the near future. Although this has been reported, albeit unconfirmed, it is still affecting the market’s behavior.

Possible Market Shifts Under New Fed Leadership

In case of resignation, Trump would have the prerogative to replace the chairperson with someone who shares his economic vision. Such a transition would probably result in the faster adoption of lower interest rates generally.

Wall Street has responded quickly to prospective changes at the Fed helm. Both cryptocurrencies and equities keep gaining strength, as well.

It is believed that even more positive minds will influence the existing market rates once a pro-growth Fed appointee is in place. Reducing rates would create more liquidity, and both traditional and digital assets would experience a bullish trend in this environment.

The prospect of a shift in leadership at the Federal Reserve could presage an important shift in monetary policy in the United States. Since indications of a Fed overhaul have become prevalent, investors and institutions have been awaiting formal updates.

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