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'Too Late Powell' Just Made His Final Move As Fed Chair

Dmitri Bolt
Dmitri Bolt  |  April 29, 2026 3:15 PM

The Federal Reserve, in its third consecutive decision and in Jerome Powell’s final move as Fed Chair, has decided to hold interest rates steady at between 3.5 percent and 3.75 percent.

The vote by the Federal Reserve board was not unanimous, as four of the 12 members dissented, the most since 1992. 

Three Federal Reserve officials, Beth Hammack, Neel Kashkari, and Lorie Logan, agreed with the interest rate decision. But they disagreed with keeping the idea that rates are more likely to go down than up, which has been the Fed’s stance for the past two years. A fourth official, Fed governor Steven Miran, was the only person to back a rate cut.

This is the final decision of the Federal Reserve under Jerome Powell, who is set to retire on May 15.

However, in a statement following the Fed’s decision, Powell said he plans to remain on the Federal Reserve’s Board of Governors after his term as chair ends, an unusual move that hasn't been made in over 80 years, and would deny President Trump an appointment to the board. Powell went on to criticize the federal government’s investigation into his alleged misconduct.

Powell is expected to be succeeded by Kevin Warsh, a former member of the Federal Reserve Board of Governors, though the appointment has not been formally confirmed. 

Warsh is anticipated to steer Federal Reserve policy in a direction more aligned with President Trump’s preferences, as the president has criticized Powell for not cutting interest rates more aggressively. Trump has argued that Powell’s approach has slowed U.S. economic growth, which he believes could have been stronger had rate cuts been implemented sooner.

The Trump administration has even pursued legal action against Powell, accusing the Fed chair of misleading Congress about extensive renovations at the Federal Reserve headquarters in Washington, D.C. 

The investigation was recently halted to advance Kevin Warsh’s confirmation process. Warsh advanced out of the Senate Banking Committee on Wednesday and is now expected to move to the full Senate for a final confirmation vote.