Trump criminal probe of Fed Chair Powell marks unprecedented escalation — and a warning to his successor
President Donald Trump's criminal probe targeting Federal Reserve Chair Jerome Powell marks an extraordinary escalation in his battle with the central bank, sending a clear warning to the next Fed...
By Fox News · Fox News
President Donald Trump's criminal probe targeting Federal Reserve Chair Jerome Powell marks an extraordinary escalation in his battle with the central bank, sending a clear warning to the next Fed chair about the risks of defying the White House. Powell confirmed the Department of Justice investigation on Sunday evening in a video statement, calling the move "unprecedented" and another example of what he described as the Trump administration's ongoing efforts to intimidate the central bank. Powell's decision to respond so publicly, after days of private consultation with advisers, marked a sharp departure from the central banker's typically measured approach. TRUMP VS THE FEDERAL RESERVE: HOW THE CLASH REACHED UNCHARTED TERRITORY The probe focuses on whether Powell was truthful during congressional testimony about the project to overhaul the Fed's two main buildings on the National Mall. No charges have been filed, and Powell has denied any wrongdoing. Powell, widely viewed as one of the most crisis-tested Federal Reserve chairs in modern U.S. history, built his career as a lawyer and investment banker in New York before entering public service in the administration of President George H.W. Bush. He joined the Federal Reserve’s Board of Governors in 2012 and was tapped to lead the central bank in 2017. Now, a criminal investigation may represent the biggest test of Powell’s leadership, unfolding as Trump weighs his choice for the next Fed chair with Powell’s term set to expire in May. The next Fed chair would take on one of the most powerful economic jobs in the country, helping decide how expensive it is to borrow money for things like homes, cars and credit cards. Those decisions directly affect the cost of everyday living for Americans. FROM MORTGAGES TO CAR LOANS: HOW AFFORDABILITY RISES AND FALLS WITH THE FED Trump has narrowed his shortlist to four candidates as he approaches a final decision on leadership at the Fed: Kevin Hassett, Kevin Warsh, Christopher W…