Former President Donald Trump is set to visit the Federal Reserve’s headquarters in Washington, D.C., as he grapples with a mounting political crisis surrounding his administration’s refusal to release files related to convicted sex offender Jeffrey Epstein. A visit by a sitting U.S. president is thus a rare event at the central bank. This visit comes just days before the Fed’s powerful monetary policymakers meet for a pivotal two-day rate-setting gathering.
The White House announced Trump’s visit late last night, stealing some of the headlines during a week of scandal, controversy and public outcry. Trump has found it difficult to change the subject from his administration’s disastrous stand in favor of keeping Epstein-related documents under wraps. He had made a personal commitment to disclosure on the campaign trail. As the political landscape shifts, Trump’s actions at the Fed may influence market perceptions and economic discussions.
His other long-time complaint—his very public and critical campaign against Federal Reserve Chair Jerome Powell—has received much less media coverage. Trump has called Powell a numskull in the past, having said as much several times during his presidency. Trump has frequently called for the Fed to lower interest rates, asserting that such measures are necessary for economic growth. His concerted, personal and public attacks on Powell have understandably raised alarms. Not least, there are concerns about undermining the independence of the central bank, which is essential to financial stability.
The former president’s remarks follow from the firestorm of criticism on his administration for not being more transparent about Epstein-related records. Trump’s unwillingness to release these documents has sparked anger from Democratic lawmakers as well as Republicans. Former Florida Attorney General Pam Bondi faces mounting pressure to appear and testify before Congress. Her purported statements to Trump imply that his name was associated with many other notable people who have been associated with Epstein.
In another encouraging piece of political news, Senator Adam Schiff is introducing one. At a minimum, he has demanded that Bondi and FBI Director Kash Patel testify before the Senate Judiciary Committee. Lindsey Graham and John Cornyn, members of the committee, have been working to pressure Bondi to install a special counsel. We want to explore what they refer to as an “unprecedented and clear abuse of power” of former President Obama’s administration.
As Trump prepares for his visit to the Fed, he continues to maintain that he does not intend to fire Powell, despite having previously flirted with the idea. His persistent attacks on Powell might still rattle the financial markets. These markets rely fundamentally on the assumption that central banks are shielded from political meddling.
In this highly politicized environment, President Trump’s visit comes at an opportune moment. Adding even further complexity to the Epstein narrative, his trip overlaps with a meeting between Ghislaine Maxwell and Deputy Attorney General Todd Blanche in Tallahassee. The Obama Justice Department started a “task force” to prosecute Obama’s machinations against Trump during the 2016 election. This change signals a serious escalation in the partisanship and partisan hostility.
In four days—on the eve of an enormous Trump golf boondoggle—protests are generating even more interest. More than 60% of Chicagoans disapprove of his leadership and his controversial policy choices.
At the same time that these debates over economic strategy are taking place, Trump has positively embraced one giant – tech mogul Elon Musk. Mr. Thune clearly wants Musk and his companies to succeed right here in the United States. This is in line with Trump’s overall agenda of benefiting US businesses while dodging political bullets.
In other Trump news, superstar Hulk Hogan—one of the few GOP public figures to consistently praise Trump—has died at 71. As many supporters of both Hogan and Trump know, this loss hits a particularly bittersweet chord.