The Justice Department has ended its criminal investigation into Federal Reserve Chair Jerome Powell, closing a probe that had drawn widespread attention and concern about the independence of the nation's central bank. The inquiry, which was not accompanied by any public charges or detailed explanation of its origins, is now resolved without further legal action against Powell.

The investigation had emerged amid a broader period of friction between President Trump and Powell, with Trump repeatedly and publicly criticizing the Fed chair over interest rate policy and calling for his removal. Legal experts and economists had cautioned that any sustained effort to undermine Powell's position could shake investor confidence and raise questions about the Fed's ability to operate free from political interference.

The closure of the probe was widely reported on April 24, 2026, and appeared to ease some of the uncertainty that had surrounded the Fed's leadership. Powell has maintained that he will not resign and that the president does not have the legal authority to remove him without cause. The Fed chair's term runs through May 2026, after which a successor would need to be confirmed by the Senate.

Axios reported that Kevin Warsh, a former Fed governor seen as a potential replacement for Powell, had been in discussions connected to the situation. The episode has renewed debate among lawmakers and economists about whether additional statutory protections for the Fed's independence are necessary. Some analysts noted that the episode, regardless of its resolution, may have lasting implications for how markets assess the central bank's autonomy.

The Justice Department did not publicly explain what prompted the inquiry or why it was discontinued. Powell and Fed officials have declined to comment in detail on the matter, and the White House has not issued a formal statement on the probe's closure.