Powell, who worked for a decade at Goldman before joining the Trump administration, would have to be confirmed by the Senate if Trump were to nominate her. Haley sailed through her confirmation hearing with lawmakers approving her nomination by a vote of 96-4. Trump tweeted that "The people of SC are embarrassed by Nikki Haley". "You can have your pick".
When Powell departed the White House in December, after less than a year on the job, several Trump advisors praised her and appeared to keep open the possibility that she could make a return. "It has been an honour of a lifetime".
Haley also quashed speculation that she would be running for the White House in 2020 and said she would be campaigning for Trump. But she also hinted at her disagreements with the president, saying she had a "personal conversation" with Trump about his response to white supremacist violence in Charlottesville, Virginia past year.
Speaking to reporters in the Oval office, Trump said Haley would leave the administration "at the end of the year", adding that she had done an incredible job.
Despite tensions between the USA and Russian Federation, particularly at the U.N., Russia's ambassador, Vassily Nebenzia, said, "I regret that she is leaving because we had a good working and personal relationship despite all the differences we were and are having".
"We've done a fantastic job together", he continued. "We've solved a lot of problems and we're in the process of solving a lot of problems".
Israeli Prime Minister Benjamin Netanyahu thanked Haley in a statement for her support of Israel, saying she "led an uncompromising fight against the United Nations' hypocrisy and for truth and justice in our country".
Haley, the former governor of SC, was a critic of Trump's during the 2016 Republican primaries and endorsed his opponent Sen.
Her exit comes after she served as the temporary president of the UN Security Council for one month.
Haley singled out Jared Kushner and Ivanka Trump for praise in her remarks. In April she announced new sanctions against Russian Federation but White House officials suggested they were premature. "Rather, I will respectfully speak some hard truths".
Mr Trump said that he had a number of people "who would very much like" to run for the vacant ambassador role.
At one point she suggested that Mr Trump's rhetoric could trigger a world war. Through it all, we stood strong for American values and interests, always placing America first.
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