Fed Chair Powell stands firm on Fed independence as political pressure grows
Fed Chair Jerome Powell is sticking to his guns, saying the Federal Reserve needs to stay independent—even as President Trump pushes for lower interest rates.
Speaking on January 28, 2026, Powell emphasized that keeping politics out of money decisions helps the Fed stay credible and focused on what's best for everyone.
He reassured the public that he and his team are committed to making decisions based on data, not political pressure.
No rate hikes soon—here's why
Powell also made it clear: don't expect interest rates to go up anytime soon.
Inflation is still hanging around at about 3%, mostly because goods are getting pricier due to tariffs, even though service prices aren't rising as fast.
Despite cutting rates last year, the Fed isn't planning any hikes just yet—they're watching how inflation and the economy play out before making any moves.