Scholars: The White House is fabricating legal reasons for Powell's resignation.

PANews, July 12 - According to Jin10, the White House is pressuring Powell regarding the renovations at the Fed headquarters. An article by "Fed's megaphone" Nick Timiraos states that Fed researchers claim that the latest developments, positively speaking, are a transparent attempt aimed at opening a new front of pressure on the Fed; negatively speaking, it is a dangerous step to create legal grounds for Powell's resignation. "We are at a critical moment in the history of the Fed," said Peter Conti-Brown, a scholar at the University of Pennsylvania studying the Fed. "In my view, it is clear that the Trump administration is now using various mechanisms to fabricate a post hoc justification for Powell's removal." Investors are paying attention to this because firing the Fed chair for political reasons would break the established norms that have supported global confidence in the dollar for decades. "If President Trump and his allies launch such an attack on the Fed, they will create serious instability in almost every aspect of the global economy," Conti-Brown said.