Can Trump dismiss Powell? Legally, Trump's ability to dismiss Federal Reserve Chairman Powell is controversial and has not been put into practice. The Federal Reserve Act allows for the dismissal of board members for "cause", but typically limited to misconduct or disability, rather than policy differences. Never in history has a Federal Reserve chairman been removed from office by a president, and Powell has made it clear that he will not resign voluntarily. Trump may seek to expand the president's power to dismiss independent agency leaders through the Supreme Court's ruling, especially in the ongoing case involving the National Labor Relations Commission, which may affect the interpretation of the Humphrey Executor v. United States case (1935), which limits the president's unjustified dismissal of independent agency leaders. However, the Federal Reserve believes that this case does not apply to its structure. Therefore, Trump's dismissal of Powell may face significant legal obstacles, and courts typically do not consider policy differences as "justifiable reasons". In addition, attempting to dismiss may trigger market turbulence and political consequences, which could be the reason why Trump did not take action during his first term. At present, the Trump team seems to be preparing for potential confrontation, but the legal outlook remains unclear.