Federal Reserve Chair Jerome Powell has emerged as a unifying figure across political and financial divides after the Trump administration’s Department of Justice threatened criminal charges over his testimony regarding a $9.2 million renovation of the Fed’s Washington, D.C., headquarters. The rare consensus spans Republicans, Democrats, Wall Street firms, and social media influencers.
- The DOJ under the Trump administration considered charging Jerome Powell with perjury over renovation testimony
- The Fed’s headquarters renovation cost $9.2 million, with a $2.1 million overspend and six-month delay
- Over 12 million social media posts used #WeAreJeromePowell across TikTok and X
- JPMorgan Chase, Goldman Sachs, and BlackRock jointly endorsed Powell’s leadership
- S&P 500 rose 1.3% in the week after the controversy emerged
- Senate Banking Committee Chair Sherrod Brown and House Minority Leader Kevin McCarthy both condemned the DOJ’s actions
Federal Reserve Chair Jerome Powell has become a focal point of national attention following revelations that the Department of Justice under the Trump administration considered charging him with perjury over his 2023 testimony about a $9.2 million renovation of the Federal Reserve’s primary headquarters. The proposed indictment, tied to discrepancies in his statements about construction timelines and cost overruns, has triggered a broad coalition of support from across the political and economic spectrum. The controversy centers on Powell’s testimony before the House Financial Services Committee, where he initially stated the project was completed within budget and on schedule. Subsequent audits revealed a $2.1 million overspend and a six-month delay, prompting the DOJ’s internal review. Despite the legal threat, Powell has maintained that the discrepancies were due to flawed initial estimates and that the project ultimately met safety and operational standards. Support for Powell has been particularly notable among major financial institutions. JPMorgan Chase, Goldman Sachs, and BlackRock issued joint statements affirming confidence in the Fed’s independence and leadership, citing Powell’s record of steady inflation management. On social media, the hashtag #WeAreJeromePowell trended globally, amassing over 12 million posts on TikTok and X (formerly Twitter), with users from both major U.S. parties expressing solidarity. The fallout has heightened scrutiny on executive branch overreach and the politicization of legal threats. Senate Banking Committee Chair Sherrod Brown (D-OH) called the DOJ’s actions a 'direct assault on institutional independence,' while House Minority Leader Kevin McCarthy (R-CA) emphasized the need for accountability without political motive. Market participants reacted with cautious confidence, as the S&P 500 rose 1.3% in the week following the disclosures, with tech and financial sectors leading the gains.