White House attacks on Fed chair fuel fears of market turmoil in 2019

US Treasury secretary denies Donald Trump had suggested ousting Jerome Powell

Global investors are braced for more turbulence in 2019 after the White House intensified its criticism of the US's most senior central banker.

Over the weekend, a flurry of reports claimed Donald Trump had discussed the possibility of firing the Federal Reserve chairman, Jerome Powell. Such an unprecedented move would trigger further instability in the markets, which have already had their worst year since the 2008 crisis.

(1/2) I have spoken with the President @realDonaldTrump and he said "I totally disagree with Fed policy. I think the increasing of interest rates and the shrinking of the Fed portfolio is an absolute terrible thing to do at this time,...

(2/2) especially in light of my major trade negotiations which are ongoing, but I never suggested firing Chairman Jay Powell, nor do I believe I have the right to do so."

Related: Wall Street stocks suffer worst week in a decade