Core Viewpoint - The potential dismissal of Federal Reserve Chairman Jerome Powell by President Trump has created significant volatility in the financial markets, with implications for interest rates and investor sentiment [1][2]. Group 1: Market Reactions - Following the news of Trump's potential move to dismiss Powell, U.S. stock indices experienced a sharp decline, while gold prices surged [2]. - However, after Trump stated he did not plan to take any action against Powell, the stock market rebounded, recovering most of its earlier losses [3]. Group 2: Political Context - Trump discussed the possibility of firing Powell during a meeting with Republican lawmakers, who reportedly supported the idea [1]. - The President has been critical of Powell, particularly regarding the costs associated with renovations at the Federal Reserve, labeling them as excessive [1]. Group 3: Economic Implications - If Trump were to proceed with the dismissal, it could lead to a negative reaction in the bond market, with potential sell-offs and rising yields [2]. - Powell has requested an investigation into the renovation costs, countering media reports that have been deemed inaccurate [2].