Investors don’t seem to give much credence to claims that cost overruns will give President Trump justification to oust Fed Chair Powell.

WASHINGTON, July 13 (Reuters) - U.S. President Donald Trump has the authority to fire Federal Reserve Chair Jerome Powell for cause if evidence supports that, White House economic adviser Kevin Hassett said on Sunday and that the Fed "has a lot to answer for" on renovation cost overruns at its Washington headquarters.

President Donald Trump is likely to fire Federal Reserve Chair Jerome Powell soon, a White House official said, and discussed the possible move in a meeting with congressional Republicans on Tuesday night.

The Fed has long maintained independence from the White House to avoid political pressures influencing monetary policy.

When NATO Secretary General Mark Rutte visited the White House on Monday, he was greeted not only by President Donald Trump but also by the striking sight of a fully gilded Oval Office.

President Trump and his allies have accused the Federal Reserve chair, Jerome Powell, of misleading Congress in what some legal scholars worry is a prelude to seeking his removal.

President Donald Trump is escalating his pressure campaign to get the Federal Reserve chairman to either lower interest rates or quit his post by targeting the expensive renovation at the central bank’s headquarters.

The iconic lawn at the White House Rose Garden has now completely disappeared as construction on the area ordered by President Donald Trump continues.

The Fed's $2.5 billion headquarters renovation is attracting mounting criticism from the Trump administration, which had been already attacking the central bank for not cutting interest rates.

The White House is criticizing an expensive renovation at Federal Reserve headquarters as President Donald Trump pursues a pressure campaign to lower interest rates.