{"id":49753,"date":"2026-04-29T14:31:22","date_gmt":"2026-04-29T14:31:22","guid":{"rendered":"https:\/\/agooka.com\/news\/usa\/fed-meeting-updates-what-to-expect-from-jerome-powells-last-fomc-meeting\/"},"modified":"2026-04-29T14:31:22","modified_gmt":"2026-04-29T14:31:22","slug":"fed-meeting-updates-what-to-expect-from-jerome-powells-last-fomc-meeting","status":"publish","type":"post","link":"https:\/\/agooka.com\/news\/usa\/fed-meeting-updates-what-to-expect-from-jerome-powells-last-fomc-meeting\/","title":{"rendered":"Fed meeting updates: What to expect from Jerome Powell’s last FOMC meeting"},"content":{"rendered":"
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Jerome Powell's term as central bank chair ends in May.<\/p>\n

Sophie Park\/Getty Images<\/p>\n<\/figcaption><\/figure>\n

It's the third Fed day of the year \u2014 and it's set to be Jerome Powell's swan song.<\/p>\n

The Federal Open Market Committee will announce its April interest rate decision at 2 p.m. ET. Powell's term ends on May 15, making this meeting his last, pending the confirmation of Kevin Warsh, Trump's nominee to be the next Fed chair. The meeting also comes amid a new development in the Department of Justice probe into the Fed's construction efforts on its DC buildings, a continued stalemate in the Strait of Hormuz, and ongoing inflation woes.<\/p>\n

Business Insider will cover the news all day, including insights from economists, market analysts, and central bank leaders. Check back here for updates.<\/p>\n

Warsh is one step away from confirmation<\/p>\n

On Wednesday morning, senators on the Committee on Banking, Housing, and Urban Affairs gathered in Washington, DC to vote on Warsh's nomination. He was advanced along party lines \u2014 13 in favor and 11 against \u2014 and will proceed to the full Senate confirmation vote.<\/p>\n

Warsh's confirmation wasn't always a sure thing. The DOJ probe raised alarm among lawmakers about political interference with the Fed, especially as Trump has been vocal about wanting lower rates. Sen. Thom Tillis, a North Carolina Republican, previously said he would not support any Trump nominees for the Fed position until the DOJ probe was dropped, putting Warsh's confirmation at risk.<\/p>\n

But the formal end of the criminal probe alleviated the key senator's concerns. On Wednesday, Tillis said, "I want to thank the Department of Justice for he assurance they gave me" he said, adding that "they have a matter that they want to settle and that's fine with me. I am confident this investigation is over."<\/p>\n

Senator Elizabeth Warren told the committee on Wednesday that the vote puts Trump "one step closer to completing his illegal attempt to seize control of the Fed and to artificially juice the economy."<\/p>\n

The DOJ investigation saga<\/p>\n

On April 24, US Attorney Jeanine Pirro dropped the Department of Justice Probe into Jerome Powell. The department launched the probe in January over Powell's alleged mishandling of construction funds at the central bank's Washington DC buildings.<\/p>\n

At the time, Powell posted a video online, saying that "No one \u2014 certainly not the chair of the Federal Reserve \u2014 is above the law. But this unprecedented action should be seen in the broader context of the administration's threats and ongoing pressure."<\/p>\n

It has been the second major legal hurdle for the Fed this year, the first being Trump's mortgage fraud allegations against Governor Lisa Cook, a case that rests with the Supreme Court.<\/p>\n

Stocks dip ahead of Fed meeting, as oil rises and earnings loom<\/p>\n

The stock market is on edge ahead of the Fed meeting. With markets pricing in near-certainty that rates will remain unchanged, investors are looking to other catalysts. <\/p>\n

Oil is on a multi-day rise back toward Iran-war highs, with Brent crude topping $116 a barrel. Meanwhile, Big Tech earnings loom. Meta, Amazon, Microsoft, and Alphabet all report after the bell on Wednesday.<\/p>\n

The S&P 500 was down 0.2% shortly after the open, and the Dow was down nearly 300 points.<\/p>\n

A highly anticipated succession<\/p>\n

\"kevin
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Andrew Harnik\/Getty Images<\/p>\n<\/figcaption><\/figure>\n

Kevin Warsh, Trump's pick for the next Fed chair, is a former Wall Street executive and central bank governor. He has a reputation for being tough on inflation, with a hawkish attitude toward monetary policy.<\/p>\n

At his confirmation hearing with the Senate Committee on Banking, Housing, and Urban Affairs, Warsh showed optimism about AI growth and a commitment to Fed independence. The committee is set to vote on, and likely approve, Warsh's nomination later this morning.<\/p>\n

"Fed independence is up to the Fed," Warsh said at the hearing. "That has three implications: First, Congress is tasked with the mission to ensure price stability. Inflation is the Fed's choice. Second, Fed independence is at its peak in the conduct of monetary policy. And third, the Fed must stay in its lane."<\/p>\n

What's at stake<\/p>\n

Wednesday's meeting signals the end of the Powell era, before the likely next chair Warsh makes his own mark on US monetary policy.<\/p>\n

The Fed's response to Iran war oil price shocks and ongoing political pressure from the Trump administration will have a ripple effect on American borrowers \u2014 from homeowners, to small business owners, to credit card holders. A hold could help keep inflation in check, but keep borrowing costs high.<\/p>\n

Inflation outlook<\/p>\n

Inflation as measured by the consumer price index rose in March to the highest rate in two years, largely driven by higher energy prices amid the ongoing Iran war. Energy prices rose 12.5% year over year, the largest increase since November 2022.<\/p>\n

Mark Zandi, chief economist at Moody's Analytics, warned that gas prices would likely stay high if vessel traffic is still disrupted in the Strait of Hormuz.<\/p>\n

"We're going to be paying more than $4 for a gallon of regular unleaded, and inflation is going to continue to be a problem," Zandi said. "Even if things start flowing here quickly, prices come in a bit, I think we're in store for somewhat higher inflation over the next three to six months."<\/p>\n

The job market looked brighter in March<\/p>\n

The latest jobs report from the Bureau of Labor Statistics showed stronger job creation in March after the previous report showed that weather and a healthcare strike affected employment in February.<\/p>\n

The US added 178,000 jobs in March, blowing past expectations and offsetting the 133,000 lost the month before. Healthcare and the leisure and hospitality sector had the largest gains among major industries. However, the Iran war could still have knock-on effects for the US economy down the line. Diane Swonk, KPMG's chief economist, said this doesn't reflect the full effects of "the shock to energy prices and supply chains" because of the survey's timing.<\/p>\n

"It tells us that what we already knew was that we entered the year with the tailwind, part of it being the catch-up to the government shutdown, part of it being fiscal stimulus, but now we're facing the headwinds of much higher energy prices," Swonk said, adding, "I would expect to see much softer job creation going forward as uncertainty has spiked again."<\/p>\n

Powell's record<\/p>\n

\"Jerome
Fed Chair Jerome Powell<\/p>\n

Kevin Dietsch\/Getty Images<\/p>\n<\/figcaption><\/figure>\n

Business Insider took a look at Powell's economic record during his news-packed eight years running the Fed, which shows cautious monetary decisions, and mixed inflation and job market outcomes.<\/p>\n

"Jerome Powell's tenure will likely be viewed favorably, offering lessons that economists can use to better inform future policy," said Stephen Kates, a financial analyst at Bankrate. "Powell has been a consensus builder within the Federal Reserve and has conducted himself with composure during periods of escalating public and legal pressure from the White House to lower rates."<\/p>\n

Mark Zandi, chief economist at Moody's Analytics, said, "Chair Powell has done a bang-up job as chair of the Fed," navigating "massive shocks to the economy," including wars, tariffs, and changing immigration policy.<\/p>\n

Read full story<\/p>\n

Markets ready for a busy day<\/p>\n

With both the Fed decision and a slew of Big Tech earnings, it's set to be a busy day for markets.<\/p>\n

All three major US indexes are set to open a little higher, with futures pointing to both the Dow and S&P 500 gaining just 0.1% at the open, and the Nasdaq set to tick 0.4% higher.<\/p>\n

Stocks in Europe are down on the day, though falls are largely limited. The biggest drop is in the UK, where the FTSE 100 is down roughly 0.8%.<\/p>\n

In commodity markets, oil prices rose on Wednesday, seemingly spurred by President Donald Trump's latest threat to Iran. Early in the morning, Trump shared a Truth Social post including what appeared to be an AI-generated image of himself wearing sunglasses and holding a gun with the caption "No more Mr. Nice Guy."<\/p>\n

Just before 7 a.m. ET, Brent crude, the international benchmark, was 2.8% higher at $107.30 per barrel, while WTI crude was up 3.3% to $103.25.<\/p>\n

A near-guaranteed hold<\/p>\n

As of Wednesday morning, CME FedWatch \u2014 which estimates probabilities of the Fed's choices based on market moves \u2014 is predicting a 100% chance of a rate hold. The FOMC aims to balance both sides of its dual mandate, fostering stable prices and maximum employment. Lowering rates could help thaw a frozen job market, but it carries the risk of rising inflation. It's likely the Fed will take a moderately restrictive stance, keeping rates steady alongside oil shocks from the Iran war.<\/p>\n

The end of an era (most likely)<\/p>\n

After holding the post since 2018, Wednesday is set to be Powell's last meeting as central bank chair. His term is officially up on May 15, and Trump nominee Warsh is likely to be greenlit by the Senate as successor. The Senate Banking Committee is scheduled to meet this morning to vote on whether or not to advance his confirmation to the full Senate.<\/p>\n

It's rare for a chair to remain on the Federal Open Market Committee after their tenure, but Powell has hinted that he may hold on to his governor seat: "I will make that decision based on what I think is best for the institution and for the people we serve," he said last month. Powell is eligible to vote on the committee until 2028, if he were to stay.<\/p>\n

Read the original article on Business Insider<\/p>\n","protected":false},"excerpt":{"rendered":"

Jerome Powell's term as central bank chair ends in May. Sophie Park\/Getty Images It's the third Fed day of the year \u2014 and it's set to be Jerome Powell's swan song. The Federal Open Market Committee will announce its April interest rate decision at 2 p.m. ET. Powell's term ends on May 15, making this […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[],"class_list":{"0":"post-49753","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-usa"},"_links":{"self":[{"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/posts\/49753","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/comments?post=49753"}],"version-history":[{"count":0,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/posts\/49753\/revisions"}],"wp:attachment":[{"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/media?parent=49753"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/categories?post=49753"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/agooka.com\/news\/wp-json\/wp\/v2\/tags?post=49753"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}