Powell under criminal probe tests Fed independence amid Trump pressure

The U.S. Department of Justice has opened a criminal investigation into Federal Reserve Chair Jerome Powell over testimony about renovations to Fed buildings, issuing subpoenas and threatening indictment in an unprecedented move. Powell disclosed the probe and linked it to political pressure from Donald Trump, warning that Fed independence is at stake. The case could complicate Powell’s looming replacement and drew mixed reactions from lawmakers, with gold prices jumping while U.S. markets were largely muted.