Most legal scholars agree that Trump can’t fire Powell from the Fed’s board of governors, and there is no legal precedent for doing so. However, there is less agreement over whether a president can remove him as chair.

U.S. stock index futures leapt on Wednesday after President Donald Trump pulled back on his threats to fire Federal Reserve Chair Jerome Powell and raised hopes for a trade deal with China. Shares of Tesla,

U.S. stocks climbed Wednesday, buoyed in part by President Donald Trump’s retreat on the prospect of firing Federal Reserve Chair Jerome Powell and the president’s indication that tariffs on China “will come down substantially but it won’t be zero.