Federal Reserve Chairman Jerome Powell announced the Department of Justice (DOJ) has served the central bank with grand jury subpoenas related to his testimony last June before the Senate Banking Committee related to the renovation of the Fed’s headquarters.
In an online video posted on Sunday evening, Powell said he was being threatened with a criminal indictment and accused the Trump administration of using the DOJ to pressure the Fed into doing its bidding in regard to interest rate levels.
“I have deep respect for the rule of law and for accountability in our democracy,” Powell said. “No one—certainly not the chair of the Federal Reserve—is above the law. But this unprecedented action should be seen in the broader context of the administration’s threats and ongoing pressure.”
Powell added that the DOJ’s action had nothing to do with his Senate testimony about the cost overruns on renovation project, which President Trump and members of his administration have vainly tried to turn into a scandal. Throughout 2025, the president and his team have launched a series of derogatory and vicious attacks against Powell’s character and competence, with the president musing repeatedly that he might fire Powell while Treasury Secretary Scott Bessent and Federal Housing Finance Agency Director Bill Pulte insisted Powell’s decision not to cut rates during the first eight months of 2025 kept the housing market in a precarious state.
“Those are pretexts,” Powell continued, referring to the suggestion that his Senate testimony was perjured. “The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the president. This is about whether the Fed will be able to continue to set interest rates based on evidence and economic conditions—or whether instead monetary policy will be directed by political pressure or intimidation.”
Powell, who was nominated by Trump during his first term in 2018 and renominated by President Biden in 2022, is scheduled to step down as Fed chairman in May, although he has the option to stay on as a member of the Fed’s board of governors into 2028.
“I have served at the Federal Reserve under four administrations, Republicans and Democrats alike,” he concluded. “In every case, I have carried out my duties without political fear or favor, focused solely on our mandate of price stability and maximum employment. Public service sometimes requires standing firm in the face of threats. I will continue to do the job the Senate confirmed me to do, with integrity and a commitment to serving the American people.”
Trump made no public comment on Powell’s remarks, although he told NBC News on Sunday evening, “I don’t know anything about it.” The DOJ has also made no comment, although the New York Times reports the action against Powell is being coordinated by the US Attorney’s Office for the District of Columbia under the direction of US Attorney Jeanine Pirro, a former New York state prosecutor and Fox News personality who was appointed by Trump.
Powell’s message drew an angry response from Sen. Thom Tillis (R-NC), who vowed to oppose the confirmation of any nominee put forth by the White House for the Fed.
“If there were any remaining doubt whether advisers within the Trump administration are actively pushing to end the independence of the Federal Reserve, there should now be none,” Tillis said in a statement. “It is now the independence and credibility of the Department of Justice that are in question.”
Sen. Elizabeth Warren (D-MA) echoed Tillis’ outrage, writing on X, “Trump wants to nominate a new Fed Chair AND push Powell off the Board for good to complete his corrupt takeover of our central bank. He is abusing the law like a wannabe dictator so the Fed serves him and his billionaire friends. The Senate must not move ANY Trump Fed nominee.”
Senator Warren demanded to the fed that they lower interest rates on June 10, 2024. Look it up! What a hypocrite!
You are conflating two issues. Warren and Powell/Fed can have different opinions about interest rates. Glad to have both sides to challenge each other.
It’s another thing for the president to have this war on anyone who disagrees with him and using the very compromised, beholdant to him DOJ, going after his “enemies” aka people who disagree with him or win in court against him.
The Rule of Law rotted and died under Trump. It will take 50 years to restore this country after he is either impeached or we last thru the end of his term.
“Perfectly” true. “Perfectly” said.
Our President is a very mentally ill individual that goes even further that an extreme narcissist. He is diabolical at the core of his soul; however, God has his days numbered and his evil ways will be triumphed in God’s timing. In the meantime, God is calling us to pray with greater faith than ever before, for those who hear His voice and answer His call. We must pray for our President that God may transform his heart – yes a miracle, but it is possible if Mr. Trump has any Fear of the Lord left in his soul. The United States of America is one Nation Under God and God will see to it that we live up to that standard, belief and faith not only for our Country but leadership for the World. The days of the earth are short.
ever wonder who wins and who loses if interest rates go down? or up?…. wasn’t there something … let’s ask Chatgpt…
Here’s a clear summary of Donald Trump’s current stance and ideas on interest rates based on the latest reporting and his recent statements:
📌 1. He Wants Lower Interest Rates
Trump has publicly pressured the Federal Reserve to cut interest rates, saying U.S. borrowing costs are “too high” and that lower rates would boost growth and reduce costs for consumers and businesses.
In the past he has even suggested rates should be dramatically lower (discussed by some reports around 1–2%).
📌 2. He Criticizes the Fed and Fed Chair
Trump has repeatedly criticized Fed Chair Jerome Powell for not cutting rates more aggressively.
This has included personal attacks and pushing for leadership changes so that future leaders will favor lower interest rates.
📌 3. He’s Pushing New Policy Ideas on Lending Costs
Most recently, Trump announced a proposal for a temporary cap on credit card interest rates (10% for one year) to make borrowing cheaper for consumers.
This isn’t directly Federal Reserve policy (the Fed sets benchmark rates), but it relates to broader interest cost concerns in the economy.
📌 4. There’s a Broader Fight Over Fed Independence
Trump’s efforts have contributed to tensions between the White House and the Federal Reserve, including reports of political pressure on the normally independent central bank.
Fed officials, including Powell, have emphasized that rate decisions are based on economic data, not political direction.
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Why This Matters
Interest rates set by the Federal Reserve influence everything from mortgage rates to credit card APRs, business borrowing, and economic growth.
If the Fed lowers rates, borrowing gets cheaper but inflation risks can rise. If it keeps rates higher, inflation can cool, but consumer and business borrowing costs stay elevated.
Trump’s push for lower rates and caps on specific interest charges reflects a policy goal of making credit more affordable and encouraging economic expansion — though some economists warn this can conflict with inflation control and the Fed’s independence.
Anybody paying attention is not surprised by this, except for how long it actually took to happen.
The current head of the current regime has been out for blood ever since he realized the Fed wasn’t going to just do what he wanted. We can easily debate if the Fed always took the correct course of action. What we should never want, what should be beyond reproach, is that the Fed stops being an independent function of the economy. If it can be as easily swayed as say, the Supreme Court of the United States, bought off by donors with RVs, nobody in finance will ever trust them for anything.
Secondary to this exact issue is the fact that the POTUS has a horrific record at running the economy (or his own businesses before he became POTUS and rigged the system for himself). Is THAT the person we should have deciding the interest rates? (That is rhetorical, the answer is ‘no’.)
Not only is Trump a traitor but he is looking to keep filling his pockets at the expense of the American people and to the detriment to the future of this country. Pam Bondi is equally guilty and using the Department of Justice to go after whomever the president perceives is a threat to his continued corruption and deceit.
Everyone on this post is unanimously against POTUS even the so-called godly perspective. These slanderous, near-sighted souls are against the obvious winning for the taxpaper. Nevertheless, in the same way the previous Admin was derelict at its duty and continued to its bitter end, Trump will continue to fix this corruption that the Left has ruined for decades.
You are correct Maverick. Who cares if they like or not…Trump is out to make America get back to being strong and independent for all citizens.