Jerome Powell

Jerome Powell
Born	Jerome Hayden Powell 4 2, 1953
Birthplace	Washington, D.C., U.S.
Nationality	American
Occupation	Central banker, lawyer, investment banker
Title	Chair of the Federal Reserve
Known for	16th Chair of the Federal Reserve
Education	Georgetown University (JD)
Children	3
Website	[https://www.federalreserve.gov/aboutthefed/bios/board/powell.htm Official site]

Jerome Hayden "Jay" Powell (born February 4, 1953) is an American central banker, lawyer, and former investment banker who has served as the 16th Chair of the Federal Reserve since February 5, 2018. Born and raised in Washington, D.C., Powell spent decades moving between the worlds of law, finance, and public policy before ascending to the most consequential economic post in the United States. He first entered government service in 1990 at the United States Department of the Treasury, rose through private equity to become a partner at The Carlyle Group, and was nominated to the Federal Reserve Board of Governors by President Barack Obama in 2011. President Donald Trump nominated him as Chair in 2017, and President Joe Biden re-nominated him for a second term in 2021. Powell's tenure as Chair has been defined by the economic upheaval of the COVID-19 pandemic, a subsequent surge in inflation, and escalating political tensions with the White House over monetary policy. In early 2026, President Trump nominated Kevin Warsh to succeed Powell as Chair, with Powell's term set to end in May 2026.

Early Life

Jerome Hayden Powell was born on February 4, 1953, in Washington, D.C. He grew up in the Washington metropolitan area, a background that would later inform his career navigating the intersection of government and finance. Powell attended Princeton University, where he earned a Bachelor of Arts degree in politics. He subsequently enrolled at Georgetown University Law Center, where he received his Juris Doctor degree.

Powell's upbringing in the nation's capital placed him in proximity to the institutions of federal governance from an early age. His educational trajectory—combining political science at Princeton with legal training at Georgetown—reflected an orientation toward public policy that would characterize much of his professional life, even during extended periods in the private sector.

Education

Powell completed his undergraduate education at Princeton University, earning a Bachelor of Arts degree. He then attended the Georgetown University Law Center, where he earned his Juris Doctor. His legal education at Georgetown provided the foundation for his early career as a practicing attorney before he transitioned into investment banking and eventually public service.

Career

Early Legal and Banking Career

After completing his law degree at Georgetown, Powell practiced as an attorney for approximately five years before transitioning to the financial sector in the mid-1980s. By 1985, Powell had established himself in New York's professional circles; that year, The New York Times reported on his marriage to Elissa Leonard, noting his professional standing.

Powell's shift from law to investment banking placed him within the upper tiers of the financial industry during a period of rapid growth in leveraged buyouts and private equity. In 1995, The New York Times reported that Powell joined Dillon, Read & Co., a prominent investment bank.

The Carlyle Group and Private Equity

In 1997, Powell became a partner at The Carlyle Group, one of the largest private equity firms in the world. Based in Washington, D.C., the Carlyle Group managed billions of dollars in assets across multiple sectors. Powell's role at the firm drew on both his financial expertise and his familiarity with the federal policy environment. He remained at Carlyle until 2005, when he departed to found Severn Capital Partners, a boutique private equity firm.

Powell's years in private equity made him one of the wealthiest individuals to later serve on the Federal Reserve Board. In 2017, when he was nominated as Chair, The Washington Post reported that Powell would be the richest Fed Chair since the 1940s, based on financial disclosure forms revealing a net worth estimated at between $19.7 million and $55 million.

Treasury Department Under George H. W. Bush

Powell's first foray into government came in 1990, when he joined the United States Department of the Treasury under President George H. W. Bush. He initially served as Assistant Secretary of the Treasury for Financial Institutions from 1990 to April 7, 1992. In that role, he was responsible for policy matters relating to the regulation and oversight of financial institutions.

On April 7, 1992, Powell was elevated to the position of Under Secretary of the Treasury for Domestic Finance, succeeding Robert R. Glauber. In this capacity, Powell oversaw Treasury policy on domestic financial matters, including government debt management and financial market regulation. He served in the position until the end of the Bush administration on January 20, 1993, when he was succeeded by Frank N. Newman under the incoming Clinton administration.

Powell's tenure at Treasury coincided with a period of significant developments in financial regulation, including policy responses related to the savings and loan crisis and government securities market reform. His experience in these roles provided him with direct knowledge of the mechanics of federal debt issuance and financial institution supervision—areas that would prove central to his later work at the Federal Reserve.

Bipartisan Policy Center

After leaving The Carlyle Group and running Severn Capital Partners, Powell served as a visiting scholar at the Bipartisan Policy Center from 2010 to 2012. The Bipartisan Policy Center is a Washington-based think tank that promotes policy solutions drawing on input from both political parties. Powell's work at the center focused on federal fiscal and financial policy issues, and his time there positioned him as a consensus-oriented policy figure in a period of heightened partisan division in Washington.

Federal Reserve Board of Governors

On December 27, 2011, President Barack Obama announced his intention to nominate Powell to the Federal Reserve Board of Governors. The nomination was part of a broader effort by the Obama administration to fill vacancies on the Board. Powell, a Republican, was seen as a bipartisan choice. His nomination was confirmed by the United States Senate, and he took office on May 25, 2012, filling the seat previously held by Frederic Mishkin.

As a Fed governor, Powell developed a reputation as a pragmatic centrist and consensus-builder. In a March 2013 speech, he addressed the issue of systemically important financial institutions, stating that ending "too big to fail" would be a multi-year undertaking. In 2017, CNN Money reported on Powell's approach to bank supervision, noting his inclination toward easing certain regulatory requirements on smaller banks while maintaining oversight of the largest financial institutions.

In October 2017, Powell delivered a speech on the U.S. economic outlook, providing his assessment of monetary policy and financial conditions.

Nomination and Confirmation as Fed Chair

On November 2, 2017, President Donald Trump announced that he would nominate Powell to succeed Janet Yellen as Chair of the Federal Reserve. Bloomberg News reported that Powell's selection was seen as a relatively safe, continuity-oriented choice, as he was expected to largely maintain the monetary policy direction established under Yellen.

The Senate confirmed Powell on January 23, 2018, with broad bipartisan support in a vote of 84–13. He was sworn in on February 5, 2018, succeeding Yellen. Powell became the first Fed Chair in decades who did not hold a doctoral degree in economics, a fact noted by multiple commentators at the time of his nomination.

Tenure as Chair

Powell's chairmanship has encompassed several defining economic episodes. During 2018 and 2019, the Fed under Powell raised interest rates multiple times before reversing course and cutting rates in 2019 amid slowing global growth and trade uncertainty. The onset of the COVID-19 pandemic in early 2020 prompted the Federal Reserve to undertake emergency actions, including slashing the federal funds rate to near zero and launching large-scale asset purchase programs to stabilize financial markets and support the economy.

The pandemic-era monetary stimulus, combined with fiscal measures enacted by Congress, contributed to a robust economic recovery but also to a surge in inflation beginning in 2021. The Fed initially characterized the price increases as "transitory," a characterization that drew criticism as inflation proved more persistent. Beginning in March 2022, the Federal Reserve embarked on an aggressive series of interest rate increases—the most rapid tightening cycle in decades—to bring inflation under control.

President Biden re-nominated Powell for a second term as Chair in November 2021, and the Senate confirmed him again. Powell's second term began in February 2022.

Political Tensions with the White House

Powell's relationship with the executive branch became a subject of public attention during his tenure. During the first Trump administration (2017–2021), President Trump repeatedly criticized Powell for not lowering interest rates more aggressively, a departure from the traditional norm of presidential deference to Fed independence.

During Trump's second term beginning in January 2025, tensions between the White House and the Federal Reserve escalated further. In late January 2026, the Federal Reserve held interest rates steady, a decision that NBC News described as defiant in the face of White House pressure to lower borrowing costs. The New York Times reported that the political drama surrounding Powell overshadowed the substance of the Fed's rate decision, noting that Powell had spent much of the preceding weeks navigating an unusually charged political environment.

In January 2026, Powell issued a public statement through the Federal Reserve Board declaring, "I have deep respect for the rule of law and for accountability in our democracy. No one—certainly not the chair of the Federal Reserve—is above" the law. The statement came amid reports of a Department of Justice investigation. In February 2026, CNBC reported that President Trump stated the criminal investigation into Powell should continue "to the end."

The Wall Street Journal reported that Powell repeatedly declined to say whether he would remain on the Federal Reserve Board after his term as Chair concluded, noting that he had been asked the question at least four times since the summer of 2025.

Nomination of Kevin Warsh as Successor

On January 30, 2026, President Trump nominated Kevin Warsh, a former Federal Reserve governor, to succeed Powell as Chair of the Federal Reserve. CNN reported that the announcement followed an extensive search that had begun in September 2025 and was led by Treasury Secretary Scott Bessent. The BBC reported that Powell's term as chairman would end in May 2026.

Fortune reported in February 2026 on discussions surrounding the Fed's balance sheet, noting that Powell had acknowledged the balance sheet had grown too large and that Warsh had plans to address it, though the challenge would be executing changes "without freaking out markets or the Treasury."

Personal Life

Jerome Powell married Elissa Leonard in September 1985, as reported by The New York Times. The couple have three children. Powell has been a resident of the Washington, D.C., metropolitan area for much of his life, consistent with his career spanning both the public and private sectors in the nation's capital.

Powell is a member of the Republican Party, though his nominations to the Federal Reserve Board by President Obama and his re-nomination as Chair by President Biden reflected bipartisan support for his approach to monetary policy.

The Financial Times noted that Powell held certain views on housing finance policy during his time at the Fed.

Recognition

Powell's confirmation as Fed Chair in January 2018 was one of the most bipartisan confirmations in recent Senate history, passing 84–13. His appointment was noted by Forbes, Bloomberg, and other major financial publications as a significant but continuity-oriented choice by President Trump.

As Fed Chair, Powell became one of the most scrutinized public figures in the United States, with his public statements and press conferences closely followed by financial markets worldwide. His approach to communication, including the introduction of regular press conferences after every Federal Open Market Committee meeting, was seen as an effort to increase transparency.

Powell's tenure drew mixed assessments. His handling of the COVID-19 economic crisis was credited with preventing a deeper financial collapse, while the subsequent period of elevated inflation generated criticism from multiple directions. His insistence on maintaining the Federal Reserve's institutional independence, particularly in the face of direct political pressure, attracted attention from legal scholars, economists, and commentators across the political spectrum.

His January 2026 statement affirming that "no one—certainly not the chair of the Federal Reserve—is above" the law was interpreted by multiple news outlets as a defense of the central bank's independence during a period of extraordinary political pressure.

Legacy

Powell's tenure as Chair of the Federal Reserve spanned a period of extraordinary economic volatility, including a global pandemic, the most aggressive inflation-fighting campaign in a generation, and an unprecedented degree of political confrontation between the White House and the central bank. His legacy will be shaped by assessments of how the Fed managed these overlapping crises.

As a non-economist leading the Federal Reserve—the first in decades without a Ph.D. in economics—Powell brought a different perspective to the role, drawing on his experience in law, investment banking, and government service. His supporters argued that this background gave him a practical understanding of financial markets and political institutions that complemented the technical expertise of the Fed's staff and other governors. Critics contended that the scale of pandemic-era monetary stimulus contributed to the inflationary pressures that followed.

Powell served under three presidents—Obama (as a governor), Trump (as Chair in both Trump's first and second terms), and Biden (as reappointed Chair)—a span that underscored his bipartisan credentials even as his relationship with the executive branch became increasingly strained during Trump's second term.

The nomination of Kevin Warsh as his successor in January 2026 marked the beginning of a transition at the Fed during a period when questions about the central bank's independence from political influence remained at the forefront of economic policy debates in the United States.