President Donald Trump’s rare visit to the Federal Reserve’s headquarters turned into a public spat with Chairman Jerome Powell over ballooning renovation costs.
The Washington Examiner reported that sporting a fuchsia tie and white hard hat, Trump didn’t hold back, waving a document he claimed proved the project’s price tag had spiked. The clash, set against the backdrop of ongoing construction, exposed the uneasy relationship between the two powerhouses.
Trump strode into the Fed’s Constitution Avenue headquarters on July 24, 2025, for a private tour led by Powell.
The visit aimed to give administration officials a firsthand look at the renovation work. Such presidential drop-ins at the central bank are practically unheard of, making this a headline-grabbing moment.
The tour quickly turned contentious as Trump zeroed in on the project’s budget. He claimed costs had jumped from $2.7 billion to $3.1 billion, pulling a document from his suit jacket to back his point. Powell, visibly caught off guard, said he wasn’t aware of the higher figure, sparking a heated exchange.
Trump’s accusation of a $400 million overrun didn’t sit well with Powell. The Fed chairman insisted he didn’t expect further increases but was ready if they happened. This vague reassurance only fueled Trump’s critique of Powell’s oversight, though he stopped short of calling for his ouster.
“We’re taking a look, and it looks like it’s about $3.1 billion; it went up a little bit, or a lot,” Trump told the press pool.
His flair for dramatic reveals—document in hand—put Powell on the defensive. Yet the Fed chief’s denial of the figure suggests either miscommunication or deliberate sidestepping.
The two bickered over which buildings were included in the cost estimates. Trump’s team has long pointed to the Fed’s pricey renovations as proof of Powell’s mismanagement. Meanwhile, Powell’s team seemed unprepared for the public grilling, leaving the chairman scrambling to respond.
Trump didn’t stop at construction costs; he pivoted to his favorite gripe: interest rates. “Well, I would love him to lower interest rates,” he said, jabbing at Powell’s refusal to budge on monetary policy. It’s classic Trump—using a platform to push his economic agenda while keeping the tone just shy of a full-on attack.
Powell, for his part, kept his cool, hard hat in hand, as the press watched the awkward dance. The Fed chairman’s measured responses contrasted with Trump’s showmanship, but they did little to defuse the tension. This wasn’t just about concrete and steel; it was about control.
Trump met with contractors during the tour, later calling it a “very good tour.” His praise for the workers felt like a calculated move to soften his criticism of Powell. Still, the president’s focus on the bottom line kept the pressure on the Fed’s leadership.
Despite the public spat, Trump pulled back from the edge. He made it clear he wouldn’t fire Powell or demand his resignation over the cost overruns.
“There are always Monday morning quarterbacks, I don’t want to be that,” he said, striking an unexpectedly diplomatic note.
The renovation project, dragging on for years, has become a lightning rod for criticism. Trump’s team sees it as a symbol of bureaucratic bloat, a chance to paint the Fed as out of touch. Yet his decision not to escalate the fight suggests a strategic choice to keep Powell in place—for now.
“I want to help them get it finished,” Trump added, signaling a desire to move past the dispute. His words hint at pragmatism, perhaps recognizing that firing Powell could unsettle markets. It’s a rare moment of restraint from a president known for bold moves.
Both men ditched their hard hats at one point, as if shedding the pretense of camaraderie. The image of Trump, fuchsia tie blazing, and Powell, stoic but rattled, captured the day’s dynamic. It was less a tour than a showdown, with the press pool soaking up every word.
Trump’s softer tone toward Powell by the end was notable, but didn’t erase the underlying rift. The president’s focus on cost overruns and interest rates reflects a broader conservative push for fiscal discipline. Powell, meanwhile, is stuck defending an institution that’s an easy target for populist ire.
