On July 12, according to Jinshi Data, a dispute over building renovations has emboldened a faction within the Trump administration that has long sought to challenge the independence of the Federal Reserve. Some economic advisors, such as Treasury Secretary Bessent, generally advocate maintaining the independence of the Federal Reserve. For example, Bessent declined to criticize Trump over the building renovation in a recent Fox Business interview. But other advisors and outside allies have been exploring legal avenues to remove Powell from office since before the election. Powell said in testimony last month, "No one wants to do a major renovation of a historic building during their term, let alone two historic buildings that need a lot of repair." Previously, Trump pushed for lower interest rates on a larger scale to reduce government borrowing costs. The Federal Reserve is not expected to cut interest rates at its meeting later this month, but Powell has hinted that a rate cut could come later this year if inflation performs well or the labor market weakens. Trump wants to reduce the debt service costs of the federal deficit, while his tax cuts could widen the federal deficit. But central banks in developed economies resist this pressure outside of extreme situations like war. They believe that stabilizing inflation is essential to maintaining confidence in their currencies. [Deep Tide TechFlow]