Jerome Powell plans to remain on the board of the Federal Reserve after his term as chair ends next month "for an undetermined period of time," saying the "unprecedented" legal attacks by the Trump administration have put the independence of the nation's central bank at risk. The Fed Wednesday left its benchmark interest rate unchanged for the third straight meeting but signaled it could still cut rates in the coming months, moves that attracted the most dissents since October 1992. The Senate Banking Committee earlier approved Powell's successor as chair, Trump appointee Kevin Warsh, on a party-line vote.
Google's transition into the era of artificial intelligence continued to pay off for its corporate parent, Alphabet Inc., which on Wednesday announced another quarter of the stellar growth that helped to more than double its already lofty market value during the past year. Alphabet earned $62.6 billion, or $5.11 per share, during the January-March period, an 81% increase from the same time last year. Revenue climbed 22% from last year to $109.9 billion. Both numbers easily surpassed the analyst projections that steer investors. Alphabet's stock price rose by more than 6% in extended trading, putting the shares on trajectory toward a new peak in Thursday's regular trading.
U.S. consumer confidence rose modestly in April despite growing anxiety over soaring energy prices brought on by the war in Iran. The Conference Board said Tuesday that its consumer confidence index inched up to 92.8 in April from 92.2 in March. Respondents' comments about prices, oil, gas and the war increased in April as the national average for a gallon of gas in the U.S. rose to $4.18 this week. The last time U.S. drivers were collectively paying this much at the pump was nearly four years ago, following Russia's invasion of Ukraine.
White House economists estimate the United States has a shortage of 10 million houses. That's according to a report out Monday. It says more construction would lower prices, increase home ownership and fuel faster economic growth. President Donald Trump's approval ratings have slumped because of concerns over his handling of the economy. Trump has taken some steps to make it easier to build houses, but he's been slow to embrace other measures. The new report is from the White House Council of Economic Advisers. It lays out a blueprint for how more construction could help the middle class and the economy, setting up an argument Trump could make to voters.
