Core Viewpoint - The White House is intensifying pressure on Federal Reserve Chairman Jerome Powell, accusing him of lying or mismanaging the $2.5 billion renovation project of the Fed's headquarters, potentially paving the way for his removal [1][3][5]. Group 1: Pressure on Powell - White House budget chief Russell Vought has suggested that Powell may have committed perjury regarding the renovation project, which has faced significant cost overruns [1][3]. - The renovation project, which involves three office buildings near the National Mall, has reportedly seen costs soar to $2.5 billion, raising concerns among lawmakers [3][5]. - Trump's administration has placed three White House advisors on the federal committee responsible for major construction project approvals, indicating a strategy to create legal grounds for Powell's removal [1][4]. Group 2: Historical Context - The current pressure tactics echo those used by President Nixon in 1972, when his administration spread false information to undermine the credibility of the Federal Reserve [2][6]. - Analysts view the ongoing situation as a transparent attempt to challenge the independence of the Federal Reserve, with some experts warning of potential instability in the global economy if Powell is targeted [6][5]. Group 3: Internal Divisions - There are divisions within the Trump administration regarding the approach to the Federal Reserve, with some advisors advocating for the preservation of its independence [4][5]. - The recent developments have emboldened factions within the government that have long sought to challenge the Fed's autonomy, particularly in light of Powell's stance on interest rates [5][6].