Powell Says He Has No Intention to Leave Fed Until DOJ Probe Over

The Federal Open Market Committee left interest rates unchanged at its latest meeting. Fed Chair Jerome Powell said he plans to remain in his role until the Justice Department's investigation into him is complete, extending governance/legal uncertainty for the central bank. Holding rates reduces immediate policy surprises, but the ongoing DOJ probe could weigh on market perception of Fed leadership until resolved.

Analysis

The Federal Open Market Committee left interest rates unchanged at its latest meeting. Fed Chair Jerome Powell said he plans to remain in his role until the Justice Department's investigation into him is complete, extending governance/legal uncertainty for the central bank. Holding rates reduces immediate policy surprises, but the ongoing DOJ probe could weigh on market perception of Fed leadership until resolved.