President Donald Trump insisted there was “no tension” between him and Federal Reserve Chairman Jerome Powell during their meeting Thursday at Federal Reserve headquarters despite a tense exchange on camera and questions — posed in Powell’s presence — about whether Trump planned to fire him.
Trump has been on a public crusade against Powell in recent weeks. Trump has been angry with Powell for failing to lower interest rates, and the president has blasted Powell for his inaction repeatedly, citing his quick movement to raise rates under former President Joe Biden.
Trump has also blasted Powell, in conjunction with his complaints about interest rates, over the multibillion-dollar renovations at the Federal Reserve’s D.C. headquarters, which Trump described as “luxurious” while he inspected it Thursday during his visit alongside Sen. Tim Scott, R-S.C.
“I thought we had a good meeting. I really, no, there was no tension. It was no tension. I think he had more tension with my great senator to the right,” Trump told reporters when asked how he would describe his talks Thursday with the Fed chair.
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Federal Reserve Chairman Jerome Powell looks at President Donald Trump with confusion after he said the new Fed headquarters renovations will cost as much as $3.1 billion. (Associated Press / Associated Press)
“We had an honest, candid conversation about some of the overruns at this building,” Scott said. “We had it in my banking committee, and [Powell] said we were wrong. And it turns out we were right. Thank God President Trump and his team took enough time to dig into some of the details.”
Trump’s comments that there was “no tension” between him and Powell followed an awkward moment between the pair that occurred on camera as they were touring the new renovations. Trump declared the “luxurious” renovations he has been critical of will ultimately cost around $3.1 billion, an increase from previous estimates of around $2.7 billion.
“We’re taking a look, and it looks like it’s about $3.1 billion – went up a little bit, or a lot,” Trump told reporters during a press gaggle inside the Fed headquarters alongside Powell as they toured the building. “So, the $2.7 [billion] is now $3.1 [billion].”
Powell shook his head as Trump spoke, and, at one point, the Fed chairman glanced sharply over at the president with a look of bewilderment.
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“I’m not aware of that, Mr. President,” Powell interjected. “I haven’t heard that from anybody at the Fed.”
“It just came out,” Trump turned to Powell and shot back as he pulled out a piece of paper from the breast pocket of his sport coat and handed it to Powell. Sen. Scott agreed that he had heard the total was $3.1 billion.
Construction on the Marriner S. Eccles Federal Reserve building in Washington, D.C., July 14, 2025. (Al Drago/Bloomberg via Getty Images / Getty Images)
“This came from [the Federal Reserve]?” Powell asked, and Trump confirmed it. Then, for a few awkward seconds, Powell read the letter before telling Trump that the larger number includes renovations that have already been completed.
“Are you including the Martin renovation?” Powell asked. “You just added in a third building is what that is. That’s a third building. … It’s not new.”
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“It’s part of the overall work,” Trump added before the topic of questioning changed.
In addition to the clash over the cost of the renovations, reporters questioned Trump — in front of Powell — about whether he, as a private citizen, would fire a project manager who let the costs of a renovation overrun.
A man wearing a mask walks past the U.S. Federal Reserve building in Washington D.C., April 29, 2020. (Xinhua/Liu Jie via Getty Images / Getty Images)
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“I’d fire him,” Trump responded. When asked if he saw a cause to fire Powell, Trump then backed away.
“I’m here just really with the chairman. He’s showing us around, showing us the work. And, so, I don’t want to get that,” Trump said. “I don’t want to be personal. I just would like to see it get finished.”
