Senator Thom Tillis announced he will lift his blockade and back Kevin Warsh for Fed chair after the Justice Department dropped the probe into Jerome Powell’s headquarters‑renovation costs. His endorsement also reduces pressure on Treasury Secretary Janet Yellen, seeking a quick resolution. Tillis told NBC’s “Meet the Press” the assurances were sufficient.

Context: Tillis had blocked any Fed chair nominee while the Trump administration investigated Powell; the DOJ under U.S. attorney Jeanine Pirro ended the probe, saying it could be reopened but did not. Tillis said the investigation was closed, not a weapon against Fed independence. The inquiry focused on cost overruns in a renovation of the Fed’s headquarters, a detail that had fueled Republican suspicions of political retaliation. Republicans argue the probe was a distraction from inflation.

Implication: With a Republican 13‑11 edge on the Banking Committee, Tillis’s vote clears the path for a Wednesday committee vote and a full‑Senate showdown before Powell’s term ends on May 15. Warsh, a former governor (2006‑2011) with GOP backing, faces Democratic skepticism. Confirmation would settle leadership before potential rate‑policy battles, and investors will adjust positions accordingly.