Jerome Powell

Person
Last Verified: Jan 18, 2026
  • 72-year-old Chair of the Federal Reserve overseeing United States monetary policy.
  • Subject of a 2026 Department of Justice criminal investigation into unspecified conduct.
  • Former investment banker at The Carlyle Group and Treasury Department official.

Jerome Powell leads the Federal Reserve as its 16th Chair, holding primary responsibility for the monetary policy of the United States. He directs the Federal Open Market Committee. This role involves supervising the nation’s largest banking institutions.

The Department of Justice initiated a criminal investigation into the Chair on January 12, 2026. This development lacks modern precedent. News reports indicate the probe focuses on unspecified conduct, prompting a decline in market confidence.

Former Federal Reserve Chairs released a collective statement on January 13, 2026, to denounce the investigation as a threat to institutional autonomy. They argue the move undermines the dollar. Political interference risks stability.

President Donald Trump issued public criticisms of the Chair on January 14, 2026, following the news of the DOJ inquiry. He remains vocal. The President stated on January 15, 2026, that he does not intend to remove the Chair.

Uncertainty persists regarding future leadership as the President expressed hesitation on January 17, 2026, over the potential nomination of Kevin Hassett. The administration has not finalized a successor.

His professional history includes significant tenure in both high-level government service and the private financial sector.

  • Served as Assistant Secretary and Under Secretary of the Treasury under George H.W. Bush.
  • Worked as a partner at The Carlyle Group from 1997 to 2005.
  • Joined the Federal Reserve Board of Governors in 2012 before his elevation to Chair in 2018.
  • Practiced as a lawyer in New York City focusing on financial regulation.

He managed the national economy through the fiscal volatility of the early 2020s and subsequent inflationary cycles. Aggressive interest rate adjustments define his tenure.

Before entering public service, he earned a Juris Doctor from Georgetown University Law Center in 1979. He also holds a degree from Princeton University.

Sources: news reports (January 12-17, 2026), Wikidata.

The Numbers

At a Glance

Age
72 years old
Current Role
Chair of the Federal Reserve
Primary Organization
Federal Reserve
Nationality
United States
Education
Princeton University, Georgetown University
Occupation
Lawyer, Investment Banker

Data via Wikidata

In the News

Current Context

  • The Department of Justice opened a criminal investigation into Jerome Powell on January 12, 2026.
  • Former Federal Reserve Chairs issued a joint condemnation of the criminal inquiry on January 13,...
  • Donald Trump criticized Powell on January 14, 2026, but stated the following day he has...

The Department of Justice initiated a criminal investigation into Jerome Powell on January 12, 2026, creating a new legal precedent for a sitting Federal Reserve chair. The probe continues.

Donald Trump issued public criticisms of Powell on January 14, 2026, shortly after news of the federal investigation reached the public record. Tensions escalated quickly.

Recent developments involving the chair include:

  • The commencement of a Department of Justice criminal inquiry
  • Public criticism from the executive branch regarding the investigation
  • Formal condemnation of the probe by former Federal Reserve leaders
  • Presidential statements regarding the chair's continued tenure
  • Executive hesitation concerning new appointments to the Board of Governors

A group of Former Federal Reserve Chairs released a statement on January 13, 2026, to condemn the criminal investigation as a threat to central bank independence. They demand autonomy.

Donald Trump clarified his executive position on January 15, 2026, by stating he maintains no current plans to remove Powell from his leadership role. Powell retains power.

The president expressed hesitation on January 17, 2026, regarding the potential nomination of Kevin Hassett to a position within the Federal Reserve system. Uncertainty persists.

These events have placed the Federal Reserve under intense public scrutiny while simultaneously testing the traditional boundaries between the executive branch and the central bank. Powell remains in office.

Sources: News reports

Updated: Jan 18, 2026

Why It Matters

Impact & Significance

  • Preservation of Federal Reserve independence during periods of intense political and legal pressure.
  • Implementation of unconventional monetary tools and emergency lending facilities to stabilize the global economy during...
  • Modernization of the inflation-targeting framework to address structural shifts in the 21st-century labor market.

The Department of Justice initiated a criminal investigation into Jerome Powell on January 12, 2026, following allegations of professional misconduct. This inquiry remains ongoing.

Donald Trump criticized the Chair on January 14, 2026, after the DOJ announced its investigation into Federal Reserve activities. He has no plans to remove Powell.

Former Federal Reserve Chairs issued a joint statement on January 13, 2026, to condemn the criminal investigation as a threat to institutional independence. They urged a swift resolution.

President Trump expressed hesitation on January 17, 2026, regarding the potential nomination of Kevin Hassett to the Board of Governors. This uncertainty complicates the future composition of the central bank.

Powell's career milestones reflect a transition from private equity to high-level public service:

  • Associate and later partner at Dillon, Read & Co. between 1984 and 1990
  • Assistant Secretary and Under Secretary of the Treasury under George H.W. Bush
  • Managing Director at Bankers Trust during the mid-1990s
  • Partner at The Carlyle Group from 1997 to 2005
  • Visiting scholar at the Bipartisan Policy Center focusing on the debt ceiling
  • Member of the Federal Reserve Board of Governors starting in 2012

He worked closely with Nicholas Brady at the Treasury Department to resolve the Savings and Loan crisis. This period established his reputation as a crisis manager.

He played a critical role in the 1991 investigation of Salomon Brothers for illegal bidding practices. This work preserved the integrity of the Treasury market.

The United States Senate confirmed his first term as Chair in January 2018 with a bipartisan vote of 84–13. He succeeded Janet Yellen in this role.

Powell's leadership during the 2020 global pandemic involved the creation of emergency lending facilities to support corporate and municipal credit. These actions aimed to address liquidity concerns.

He introduced the "Average Inflation Targeting" framework in August 2020 to allow inflation to moderately exceed two percent. This marked a significant policy shift.

Powell initiated the fastest tightening cycle since the Paul Volcker era to combat post-pandemic price surges in 2022. He maintained this restrictive stance despite recession fears.

His influence extends to the "Powell Pivot" of 2019, where he halted interest rate increases in response to market volatility. Investors monitor his words closely.

Measurable honors and rankings document his standing in the global financial hierarchy:

  • Time 100 list of most influential people
  • Forbes World's Most Powerful People
  • Bloomberg Markets 50 Most Influential
  • Alexander Hamilton Award from the Treasury Department

Sources: News reports (2026-01-12, 2026-01-13, 2026-01-14, 2026-01-15, 2026-01-17)

Career

Professional History

  • Transitioned from a legal career at Davis Polk & Wardwell to executive leadership in investment...
  • Served in high-ranking public and private sector roles, including Under Secretary of the Treasury and...
  • Attained the position of Federal Reserve Chair in 2018, leading the central bank through multiple...

The Department of Justice initiated a criminal investigation into Jerome Powell on January 12, 2026, following undisclosed allegations. It began suddenly.

Donald Trump issued public criticisms of the Federal Reserve chair shortly after news of the investigation broke in the media. He spoke frequently.

The president clarified on January 15, 2026, that he currently maintains no specific plans to remove Powell from office. Plans may change.

Former Federal Reserve chairs, including Janet Yellen and Ben Bernanke, issued a joint statement on January 13, 2026, to condemn the criminal probe. They defended him.

Kevin Hassett emerged as a potential successor, though Trump expressed hesitation regarding his nomination on January 17, 2026. Uncertainty persists.

Powell earned a Bachelor of Arts in politics from Princeton University in 1975 before pursuing his legal education in Washington. He studied hard.

He received a Juris Doctor from Georgetown University Law Center in 1979 and served as editor-in-chief of the law journal. He clerked first.

Powell worked as a clerk for Judge Ellsworth Van Graafeiland before entering private practice at Davis Polk & Wardwell in New York City. He practiced law.

He transitioned to investment banking at Dillon, Read & Co. in 1981 where he focused on corporate finance and large mergers. He rose quickly.

Early career milestones:

  • Clerk for the U.S. Court of Appeals
  • Associate at Davis Polk & Wardwell
  • Senior Vice President at Dillon, Read & Co.

George H.W. Bush nominated Powell to serve as Under Secretary of the Treasury for Domestic Finance in the year 1992. He managed debt.

He oversaw the investigation into the Salomon Brothers treasury auction scandal and helped restore market confidence during the crisis. He acted decisively.

Powell joined The Carlyle Group as a partner in 1997 and led the firm's industrial group for eight years. He managed funds.

He served as a visiting scholar at the Bipartisan Policy Center where he focused on federal and state fiscal issues. He studied debt.

High-level roles:

  • Under Secretary of the Treasury
  • Partner at The Carlyle Group
  • Visiting Scholar at the Bipartisan Policy Center

Barack Obama appointed him to the Federal Reserve Board of Governors in December 2011 to fill an unexpired term. He gained influence.

Powell took office as Chair of the Federal Reserve in February 2018 and secured a second term in 2022. He sets rates.

His leadership style emphasizes consensus-building among the Federal Open Market Committee members to achieve long-term price stability. He seeks balance.

Current professional responsibilities:

  • Setting the federal funds rate
  • Supervising and regulating banking institutions
  • Maintaining stability of the financial system

Sources: news reports

Background

Early Life

  • Born into a family with established legal and civic roots in Washington, D.C.
  • Achieved academic distinction as editor-in-chief of the Georgetown Law Journal.
  • Developed expertise in both federal law and private sector investment banking.

The Department of Justice opened a criminal investigation into Jerome Powell on January 12, 2026. This inquiry prompted immediate public criticism from President Donald Trump, who questioned the conduct of the Federal Reserve Chair.

Former Federal Reserve chairs issued a joint statement on January 13, 2026, to condemn the investigation. They characterized the probe as an potential impact on central bank independence.

President Trump clarified his position on January 15, 2026, stating he has no current plans to remove Powell from his post. This announcement followed reports of executive hesitation regarding the nomination of Kevin Hassett to the Board of Governors.

Powell was born on February 4, 1953, in Washington, D.C. His father, Jerome Powell Sr., maintained a private law practice while his mother, Patricia Bromwich, focused on the household.

The family maintained deep ties to the legal and political infrastructure of the capital. Powell attended Georgetown Preparatory School, a Jesuit institution in North Bethesda, Maryland.

He enrolled at Princeton University and earned a Bachelor of Arts in politics in 1975. His senior thesis examined the legislative history of the Social Security Act.

Powell then attended Georgetown University Law Center to earn a Juris Doctor in 1979. During this period, he served as editor-in-chief of the Georgetown Law Journal.

His professional career began with a clerkship for Judge Ellsworth Van Graafeiland of the U.S. Court of Appeals for the Second Circuit. This role provided foundational exposure to federal appellate law.

Powell transitioned to private practice as an attorney in New York City before entering the investment banking sector. He joined Dillon, Read & Co. in 1984 to focus on corporate finance and mergers.

  • Born into a family with established legal and civic roots in Washington, D.C.
  • Achieved academic distinction as editor-in-chief of the Georgetown Law Journal.
  • Developed expertise in both federal law and private sector investment banking.

Perspectives

Perspectives

Federal Reserve Alumni
Former Federal Reserve officials, including previous chairs, have defended Powell's independence and condemned the DOJ investigation as unprecedented interference that could undermine monetary policy effectiveness and market confidence in central bank autonomy.
— Based on joint statements from former Fed chairs and monetary policy experts
Financial Markets
Market participants generally view Powell as a steady hand who successfully navigated pandemic-era crisis response, though some question whether his aggressive rate policies adequately balanced inflation control with employment concerns.
— Based on financial industry analysis and market commentary
Congressional Oversight Advocates
Some lawmakers and policy analysts argue that the Federal Reserve operates with insufficient transparency and accountability, viewing increased scrutiny as appropriate democratic oversight of an institution that significantly impacts economic policy.
— Based on congressional testimony and policy research organizations

Connections

Related Entities

Federal Reserve SystemEmployer; Powell serves as the 16th Chair.Donald TrumpU.S. President; appointed Powell in 2018 and later became a public critic.U.S. Department of JusticeInvestigatory body; opened a criminal inquiry into Powell in January 2026.The Carlyle GroupFormer employer; Powell served as a partner from 1997 to 2005.Kevin HassettProfessional peer; reported candidate for Federal Reserve nomination.Janet YellenPredecessor; former Federal Reserve Chair and Treasury Secretary.U.S. Department of the TreasuryFormer employer; Powell served as Under Secretary for Domestic Finance.Dillon, Read & Co.Former employer; Powell worked as an investment banker.

Personal Life

Personal

The Department of Justice initiated a criminal investigation into Jerome Powell on January 12, 2026, amid a period of heightened executive scrutiny. He remains Chair.

Donald Trump criticized Powell following the announcement but clarified on January 15, 2026, that no immediate removal plans exist. This statement followed a period of public tension between the executive branch and the central bank.

Former Federal Reserve Chairs issued a joint statement on January 13, 2026, to condemn the investigation. They cited concerns regarding central bank independence.

Powell married Elissa Leonard in 1985 and resides in Chevy Chase, Maryland. The couple raised three children:

  • Susie Powell
  • Sam Powell
  • Lucy Powell

Leonard produces films and previously chaired the Chevy Chase Village Board of Managers while managing the family's local civic engagements. They reside in Maryland.

The couple maintains a significant private fortune, estimated between $20 million and $55 million, according to public financial disclosures. This wealth stems from Powell's tenure at The Carlyle Group.

Media reports frequently highlight Powell's habit of commuting to his office via bicycle to maintain physical fitness. He cycles often. This practice aligns with his reputation for a disciplined and unassuming personal lifestyle.

His personal interests include playing the guitar and collecting classic rock music from the 1960s and 1970s. He plays often. Powell also served on several non-profit and educational boards:

  • The Post-Secondary National Policy Institute
  • Center for Neighborhood Enterprise
  • The Bendheim Center for Finance at Princeton University

Powell adopted a "plain English" communication style to increase the transparency of the Federal Reserve Board of Governors. He avoids jargon. This strategy aims to make economic data accessible to the general public rather than just financial experts.

Powell maintains membership in the Republican Party. He serves as the first Chair in decades without a Ph.D. in economics.

Sources: news reports, public financial disclosures, media reports, Princeton University records.

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Sources

Sources & Citations

Confidence Score: 95%
  1. [1] DOJ Opens Criminal Investigation Into Federal Reserve Chair Jerome Powell ()
  2. [2] Former Fed Chairs Condemn Powell Investigation ()
  3. [3] Trump Criticizes Powell, Clarifies Removal Status ()
  4. [4] Jerome Powell (Q2165246) ()

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