Investing.com -- U.S. President Donald Trump on Tuesday said that he would be disappointed if Kevin Warsh, his nominee for Fed chair, did not cut interest rates immediately after taking office following Senate approval.

Trump in an interview to CNBC also said officials need to "find out" about construction costs for the new Federal Reserve building. Current Fed chair Jerome Powell is under criminal investigation over testimony he gave to a Senate committee regarding renovations to Federal Reserve buildings.

Powell at the time had called the probe "unprecedented" and said he believed it was opened due to Trump's anger over the Fed's refusal to cut interest rates despite repeated public pressure from the president. Trump has been pressuring Powell to cut rates, but the central bank has not reduced rates in 2026.

The Iran conflict has made it tricky for the central bank to cut rates as inflation concerns have increased due to rising crude oil prices. Several Fed policymakers have indicated that a temporary increase in headline inflation would not warrant adjustments to short-term interest rates. However, the officials have noted that a prolonged conflict and sustained elevated prices that could impact household finances might present a challenging decision. In such a scenario, the Fed would need to choose between maintaining high interest rates to address inflation or lowering rates to support the economy.

Wells Fargo (NYSE: WFC) CEO Charlie Scharf said Monday that lowering interest rates before there is clarity about a potential end to the Iran conflict would be "the wrong thing to do."

"Until it's clear what the end is in sight, there's real risk out there," Scharf said, adding that there appears to be consensus about waiting to see how the Iran conflict plays out.