Overview
- Federal prosecutors ordered the Federal Reserve to provide documents to a grand jury in an inquiry tied to the headquarters renovation and whether Jerome Powell misled Congress.
- Powell denied wrongdoing, calling the action unprecedented and a political pretext intended to pressure monetary policy.
- The renovation began in 2022 with an initial $2.5 billion budget, with overruns estimated at roughly $600–700 million and disputed totals cited as high as about $3.1 billion.
- Markets signaled concern as gold and silver hit record highs, U.S. stocks opened lower, the dollar slipped, and Treasury yields edged higher.
- President Trump said he was unaware of the probe, some Republicans voiced alarm including Sen. Thom Tillis, and attention is turning to Powell’s May term end and potential successors reported in coverage.