BackECONOMY
Powell’s final Fed chair press conference sends message to Trump and Warsh
Jerome Powell used what is likely his final press conference as Fed chair to address political pressures and defend the Fed's independence. The Fed left rates unchanged at about 3.6% and signaled future cuts remain possible, while Powell announced he will remain on the Board until January 2028. He also sent a direct message to President Trump and incoming nominee Kevin Warsh as Warsh moves toward confirmation.
Why It Matters
Powell's decision to stay on the Fed board preserves monetary-policy independence amid political scrutiny. Warsh's impending confirmation could influence the Fed's direction and autonomy in the years ahead.
Timeline
8 Events
Powell describes current policy as appropriate to reach 2% inflation
April 29, 2026
Powell said current rates remain 'appropriate' to guide inflation back toward the Fed’s 2% goal while maintaining labor-market stability.
Dissent at the meeting: three officials oppose language on future cuts; Miran seeks immediate cut
April 29, 2026
Three officials dissented against maintaining language that hints at future cuts, while Governor Stephen Miran dissented in favor of an immediate cut, marking the most dissents at a Fed meeting since 1992.
Fed statement notes Middle East uncertainty and elevated inflation
April 29, 2026
The Fed's official statement acknowledged that developments in the Middle East contribute to economic uncertainty and that inflation remains elevated, in part due to higher global energy prices.
Powell congratulates Warsh on advancing to Senate vote
April 29, 2026
Powell congratulated Kevin Warsh for advancing to a full Senate vote as Trump’s nominee moves closer to confirmation.
Powell cites political pressure and the probe into Fed renovation costs
April 29, 2026
Powell cited ongoing political attacks and legal pressure as a factor in his decision, referencing skepticism about the Trump administration’s handling of a criminal probe into Fed renovation costs, with prosecutors dropping the case but warnings of potential restart.
Powell says the stay is about defending Fed autonomy, not politics
April 29, 2026
Powell stated that his decision to remain is not about politics but about protecting the Fed from escalating institutional threats and political pressure that could undermine monetary policy independence.
Powell announces he will remain on the Fed Board after chair term ends
April 29, 2026
Powell disclosed that after his term as chair ends on May 15, he will continue to serve as a governor on the Federal Reserve Board for a period to be determined, planning to keep a low profile through January 2028.
Fed leaves rates unchanged and signals possible future cuts
April 29, 2026
The Federal Reserve kept its target range for the federal funds rate around 3.6% for a third consecutive meeting and signaled that future rate cuts remain possible.