This capped off a string of days in which the President first pleaded with and then complained bitterly about the Fed and its decision to raise interest rates.
The stock market malaise comes with Trump refusing to sign a budget bill to keep the government funded as he demands money for a US-Mexico border wall. Treasury Secretary Steven Mnuchin caused further turmoil on Sunday after issuing a statement saying top USA bank executives had assured him they had adequate liquidity to make loans, raising the prospect of a problem investors hadn't anticipated.
Mr Trump blasted the Fed again, this time saying it was the USA economy's "only problem", and investors have closely followed reports the president had privately discussed the possibility of firing Mr Powell.
In an interview with NBC's "Meet the Press" on Sunday, Sen.
But the comments were widely criticized by market watchers for raising new doubts, fears that were already brewing because of a partial U.S. government shutdown over Trump's battle with congressional Democrats to finance a wall on the border with Mexico.
And there was more excitement on October 3: "The Stock Market just reached an All-Time High during my Administration for the 102nd Time, a presidential record, by far, for less than two years".
Investors "have no confidence in the administration", he told AFP.
After Mnuchin's call on Monday - which produced no public statement - stocks continued their Christmas Eve slide, ending the day with the benchmark S&P 500 down 2.7 percent, hitting its lowest level in 20 months. Trump had to have been told by Mnuchin that this was not under Trump's sphere of influence and rights as president. Trump nominated Powell previous year to become chairman.
Trump said he remained confident in American firms, and indicated investors should not fear the markets. Homebuilders fell on new data showing USA home price growth slowed in October.
High on the laundry list was the Democrats, whom he blamed for a partial government shutdown which dragged into its fourth day - paralysing key federal services such as national parks - with no end in sight. The president's musings about firing Powell and the abrupt departure of Defense Secretary James Mattis add to the sense of turbulence.
The Fed has been "exacerbating" the situation, said Quincy Krosby, chief market strategist Prudential Financial.
The only certain thing about the market this month is uncertainty.
The gains were led by technology stocks, which rose 2.93%.
In my view, it's fair to say that President Trump is correct in complaining about Fed policy.
In an official statement, the treasury said he held talks with the CEOs of Wells Frago, Morgan Stanley, JP Morgan Chase, Goldman Sachs, Citi and Bank of America.