The White House is increasing its pressure on Powell. The Fed's spending is in focus.

MILAN – The White House's grip on Jerome Powell continues unabated. The Wall Street Journal reported that advisers are mounting a campaign against the Fed chairman, accusing him of lying to Congress about the restructuring of the U.S. central bank's headquarters.

In particular, the WSJ writes, the administration formalized its challenge on Thursday with a letter signed by Russell Vought , Trump's budget director, insinuating that Powell made false statements to Congress about the $2.5 billion renovation of three buildings near the National Mall in Washington, or that he failed to comply with building codes required for that area.

In an interview, the president's deputy chief of staff , James Blair, said he wanted to "thoroughly investigate" the Fed's compliance with approved construction plans. Blair also added: "If it were proven that Powell lied to Congress, I think both the Fed board and the American people—and the Senate—would be very concerned."

Trump: "Powell is doing a terrible job."

Meanwhile, the US president continues to harshly criticize the central bank's head. Speaking to reporters before flying to the Texas flood zone, he reiterated that Powell "is doing a terrible job" and that interest rates should be lowered by three percentage points, while ruling out the possibility of firing him.