Trump Administration's Justice Department Drops Investigation into Fed Chair Jerome Powell

The Trump administration has moved closer to exerting greater control over the US financial system after the Department of Justice dropped its investigation into Federal Reserve Chair Jerome Powell. This development could facilitate the confirmation of Kevin Warsh, Trump's nominee to replace Powell, who has been awaiting a final Senate vote after a confirmation hearing. The investigation, which was related to cost overruns in a Fed building project, was handed over to the Fed's inspector general, and the US Attorney for the District of Columbia stated that the DOJ may restart the investigation if necessary. The move has significant implications for US monetary policy and the regulation of the crypto industry. Senator Thom Tillis, who had threatened to block Warsh's confirmation, has indicated that he will support the nominee now that the investigation has been dropped. However, Senator Elizabeth Warren has criticized the move, arguing that it is an attempt to install a Trump loyalist as Fed chair.