All articles tagged with #powell
Sen. Thom Tillis says Kevin Warsh’s bid to be Fed chair could face a long confirmation due to restrictions on a nominee’s business life, and he will oppose any Fed confirmation until the DOJ resolves its investigation into Chair Jerome Powell, casting doubt on Warsh’s path as Trump’s pick awaits Senate action.
As Fed Chair Jerome Powell’s term ends in May and Kevin Warsh is nominated to succeed him, markets anticipate rate cuts paired with balance-sheet shrinkage. The piece highlights three ETFs that could benefit: Financial Select Sector SPDR (XLF) for banks from lower rates, iShares Core S&P Small-Cap (IJR) for rate-sensitive small caps, and iShares US Real Estate (IYR) for REITs that historically outpace stocks after easing cycles. Consider XLF, IJR, and IYR as potential beneficiaries amid the policy shift.
Sen. Tim Scott said Powell did not commit a crime during his Senate testimony and predicted Sen. Thom Tillis will drop his blockade of Kevin Warsh’s Fed chair nomination; Tillis has vowed to oppose Warsh until the DOJ probe into Powell ends. Scott criticized Powell as unprepared but insisted the inquiry does not imply criminal conduct, as Trump pressures the Fed on rate decisions and the investigation surrounding Powell’s testimony continues.
President Trump’s pick of Kevin Warsh to chair the Federal Reserve comes as the central bank is more divided than at any point in decades. While Warsh’s appointment could sway policy, the FOMC shows hesitancy to cut rates amid stubborn inflation, with hawkish members and new appointees challenging any rapid shift. The nomination faces political and economic headwinds, including the long-standing tension between the White House and Powell’s leadership, making a swift move to lower borrowing costs uncertain.
Federal Reserve governor Stephen Miran has resigned as chair of the White House Council of Economic Advisers to honor a pledge if he stayed on the Fed past January, and will remain on the Fed board until a successor is confirmed. Trump has nominated former Fed governor Kevin Warsh to be the next Fed chair, a move that would replace Miran on the board, with acting chair Pierre Yared considered for permanence. The piece also notes ongoing DOJ investigations into Powell and Lisa Cook and Democratic opposition to Warsh’s nomination.
Sen. Thom Tillis vows to block any Federal Reserve nominees, including Kevin Warsh, until the DOJ finishes its investigation into Jerome Powell’s Senate testimony, arguing that a pardon would not resolve the case or protect Fed independence; the live updates also cover DHS funding stopgap and other Capitol Hill headlines.
President Trump says the criminal investigation into Federal Reserve Chair Jerome Powell should continue, urging U.S. Attorney Jeanine Pirro to pursue it to the end despite Sen. Thom Tillis’s vow to oppose any new Fed chair nominee until the probe is resolved; Tillis’s stance could block Kevin Warsh’s nomination for Fed chair. CNBC reports the Fed has not yet complied with grand jury subpoenas tied to Pirro’s probe, while the Fed defends the Washington HQ renovation as a cost-saving measure and Powell’s term ends in May.
President Trump says he will announce his nominee for Federal Reserve chair Friday morning, signaling a push for a faster pace of interest-rate cuts. Reported frontrunners include Kevin Hassett and Kevin Warsh, though no nominee has been named yet. The move comes as Trump has clashed with Fed Chair Jerome Powell over rate cuts, and as Powell faces DOJ subpoenas tied to a renovation project, potentially complicating Senate confirmation.
Powell defended attending Lisa Cook's Supreme Court hearing, saying it may be the most important legal case in the Fed's 113-year history because of its implications for independence; the proceedings highlighted tensions over presidential power to remove central-bank officials and concerns about politicization, while Powell also faces a separate federal probe into Fed HQ renovations ahead of a potential successor.
President Trump’s aggressive moves against the Federal Reserve and a pending decision on Powell’s successor are dominating headlines and investor attention, leaving the latest rate decision largely a non-event as markets weigh the politics of Fed independence and the path of policy.
The Fed is expected to hold the federal funds rate at 3.5%–3.75%, pausing after last year’s cuts as inflation cools and the labor market remains resilient; four new voters join the FOMC this year, increasing policy dynamics amid ongoing attacks on the Fed by President Trump, with Powell’s post-meeting remarks and possible signals on bond purchases to watch as markets stay broadly muted.
The Federal Reserve is expected to keep interest rates unchanged as it weighs a cooling labor market against inflation still above its 2% target, while Powell confronts political pressure from Trump and ongoing questions about the Fed's independence.
US dollar tumbles to a four-year low after President Trump downplayed worries about the currency’s slide, prompting a move into safe-haven assets like gold and the Swiss franc. The greenback fell about 1.3% on the day and extended a four-day decline, with the euro rising to roughly $1.20 and gold topping $5,200 an ounce. Analysts warn a weaker dollar can help multinational revenues but raises import costs and potential inflation, while markets await the Federal Reserve’s upcoming decision as Trump pressures for rate cuts and Powell’s leadership comes under scrutiny with his term ending in May.
The Federal Reserve is anticipated to keep the federal funds rate at 3.5%–3.75% at the Jan. 28, 2026 meeting, with no first-cut in 2026 as inflation remains above its 2% target and the labor market shows signs of softening. Powell will explain the decision at a 2:30 p.m. ET press conference amid political scrutiny over his tenure and the Fed's independence, and the move will influence borrowing costs from credit cards to auto loans.
Markets currently peg BlackRock’s Rick Rieder as the frontrunner to replace Jerome Powell as Fed chair, but the race remains volatile with Kevin Warsh and Kevin Hassett still in the mix and President Trump weighing loyalty against policy preferences; Rieder’s market-focused background, his call for a roughly 3% funds rate, and his support for Fed independence could both help and hinder his bid depending on White House priorities.