Wells Fargo Chief Executive Officer Charlie Scharf stated that he "absolutely" supports Federal Reserve independence, but Trump is free to express his views on how the central bank should formulate monetary policy.

Scharf said on Wednesday that the Fed must be and currently is independent, citing the fact that Fed leaders' terms differ from those of politicians like presidents. However, he added that there is a difference between Trump's views on interest rates and the president actually influencing Fed independence.

"I think the government has the right to be vocal about it, and I think the Fed should do what it thinks it should do based on the information it sees," Scharf said.

Scharf noted that politicians commenting on Fed rate decisions is nothing new, but Trump "happens to be very vocal."

Trump has repeatedly called for the Fed to lower interest rates and launched unprecedented attacks on Fed Chair Powell, describing the Federal Open Market Committee's (FOMC) failure to cut benchmark rates since December 2024 as "too late."

In August, the president also attempted to dismiss Fed Governor Lisa Cook after his housing finance director Bill Pulte accused her of mortgage fraud. On Tuesday, a judge blocked Cook's dismissal, while a lawsuit challenging the move is proceeding through the court system.

Markets widely expect the Fed to cut rates at its September meeting, as recent inflation data came in below expectations and the job market shows signs of trouble. CME FedWatch currently estimates a 90% probability of a 25 basis point rate cut and a 10% probability of a 50 basis point cut.

"'Too late' must immediately substantially lower rates. Powell is a complete disaster and doesn't know anything!!" Trump posted on Truth Social Wednesday morning.