Story perspectives

Senator Blocks Fed Nominees Amid Powell Investigation

1/15/2026

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Summary

Story summary

Senator Thom Tillis (R-NC) will block Federal Reserve nominees from President Donald Trump until the Justice Department's investigation into Fed Chair Jerome Powell is resolved.
He says the move threatens the Fed's independence and the DOJ's credibility.
Powell confirmed the probe relates to his testimony on the $2.5 billion renovation of the Fed's headquarters and, with Lisa Murkowski among Republicans, warned the investigation could undermine the central bank's stability.

History

Historical Context

The Federal Reserve Reform Act of 1977 amended the Federal Reserve Act to establish a dual mandate for maximum employment and price stability, responding to the severe inflation of the 1970s, which peaked at 13.5%. This act increased Congressional oversight of the Fed, reflecting ongoing tensions between political influence and central bank independence, crucial for maintaining public trust in monetary policy.

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Story summary

Senator Thom Tillis (R-NC) will block Federal Reserve nominees from President Donald Trump until the Justice Department's investigation into Fed Chair Jerome Powell is resolved.
He says the move threatens the Fed's independence and the DOJ's credibility.
Powell confirmed the probe relates to his testimony on the $2.5 billion renovation of the Fed's headquarters and, with Lisa Murkowski among Republicans, warned the investigation could undermine the central bank's stability.

1 / 2