Powell

OMAHA, Neb. — “Do they still like Trump in Nebraska? I think so,” the president said during a recent event in Washington.

Given that the state easily backed Republican Donald Trump three times and hasn’t supported a Democrat for the White House since Lyndon B. Johnson in 1964, the answer may seem obvious.

But in Nebraska’s largest city, it’s an open question and could decide one of the country’s most-watched congressional races. Retiring Rep. Don Bacon ’s open seat pits fellow Republican and Omaha City Councilmember Brinker Harding against Democratic activist Denise Powell.

The district encompasses an increasingly Democratic-leaning Omaha metro area of 1 million-plus and its more conservative suburbs — famous for steaks and the Reuben sandwich’s birthplace, though New York disputes that.

It’s one of just eight districts nationwide that elected Republicans in House races while supporting Democratic presidential nominee Kamala Harris over Trump two years ago.

Harding and Powell have been making the rounds at parades and festivals where meat raffles offer oversized sausages as prizes. However, those on-the-ground appeals could be drowned out by Trump who, like most things in politics, has moved to shape November’s midterm elections in his own image.

The president is organizing a Republican midterm convention in Dallas next month that will serve as much a two-day rally for him as a boon to party candidates nationwide. Trump is also frequently visiting tightly contested districts, despite his low approval ratings and the unpopular war in Iran.

While Trump centers himself, Democrats are happy to oblige.

When Powell knocks on doors to talk to voters, she asks, “What’s keeping you up at night?” On a sweaty Saturday afternoon, John Rosseter responded without hesitation. “Well, Trump.”

“I want to see the history books written years from now,” said Rosseter, 67, who owns a carpentry business. “They won’t be pretty.”

The ‘Blue Dot’ hasn’t helped Democratic House candidates

Nebraska splits its presidential electoral votes, and the 2nd Congressional District’s delegate has gone to Democrats three out of five times since 2008, making it a “ blue dot ” in an otherwise Republican red state. But a Democrat has won the House seat just once since 1994.

Harding plays up Trump’s primary endorsement, and House Speaker Mike Johnson and Majority Leader Steve Scalise campaigned for him. Harding said he has “the full confidence of, not only the White House, but leadership in the Congress.”

He has also tried to appeal to swing voters and says he knows the district better than does Powell, co-founder of Women Who Run Nebraska, which supports female candidates.

Two possible Democratic 2028 presidential candidates — ex-Transportation Secretary Pete Buttigieg and Rahm Emanuel, an ex-Chicago mayor who was President Barack Obama’s first White House chief of staff — have campaigned with Powell.

She talks about how Medicare cuts have increased anxiety about affordability. Powell also points to Trump and his family’s business dealings as an example of “the choices that they have made while people on the ground are struggling” and she says that resonates with Republicans.

“Even the ones who aren’t necessarily anti-Trump,” Powell said, “understand the need for checks and balances.”

Some Democrats want a ‘Blue Dot Wave’

Jason Brown and his wife, Ruth Huebner-Brown, caused a sensation in 2024 by spray painting about 50 reused lawn signs with blue dots and distributing them around Omaha’s Dundee neighborhood. The couple has since expanded to professionally produce signs promoting a “Blue Dot Wave.”

Brown said the Republican-controlled Congress has capitulated on “every Trump nominee, every Trump policy, all the way down to putting gilding gold on statues.”

Supporters of Harding have countered with red “Brinker Dot” signs.

“We need to make sure that we keep this country on the track to being even better,” Harding said.

Jack Hosking, the 90-year-old retired former head of a title insurance company, organizes a weekly coffee to discuss political and community issues. He estimated that about 70% of attendees are Trump voters and “maybe even more so lately, because of the crap that the New York mayor started,” referring to Zohran Mamdani’s efforts at pushing the Democratic Party to the left.

Both Powell and Harding have addressed Hosking’s group, though, and he predicted that as much as half will support the Democrat.

“She spoke well enough that, my sense is, a lot of them will cross over,” Hosking said, noting that when it came to campaigning, “Brinker’s not doing much.”

The president seen as a base motivator

The Republican National Committee views Trump as a national asset, betting he can prevent complacency in a year without a presidential race, when enthusiasm for the party in power typically wanes.

The committee rebranded its “Young Guns” program for key candidates to “MAGA Majority” in deference to Trump’s “Make America Great Again” movement, and many congressional candidates will be at the Dallas convention with Trump.

Others aren’t waiting that long.

Republican Reps. Mike Lawler of New York and Tom Barrett of Michigan, whom Democrats are aiming to unseat, both appeared with Trump during his rallies in their districts. When the president visited Macungie, Pennsylvania, in June, he joined Republican Rep. Ryan Mackenzie, saying, “I’m here for him.”

Trump also traveled to the Wisconsin district of Republican Rep. Derreck Van Orden, as have Cabinet members.

Rep. Juan Ciscomani, facing a reelection fight, appeared with Trump during an April event in Arizona. Two Iowa Republicans in what could be toss-up reelection contests, Reps Zach Nunn and Mariannette Miller-Meeks, both were by Trump’s side when he kicked off his midterm campaign outside Des Moines.

Bacon sometimes defied the White House in his final term. He criticized Defense Secretary Pete Hegseth and tried to curb Trump’s ability to impose tariffs and was the only House Republican who opposed renaming the Gulf of Mexico as the Gulf of America.

Mary Jane Truemper, who heads the Nebraska Republican Party, said Powell and the state’s Democrats have moved too far to the left. She called Harding “a steady force” and said the nominee is not as fond of picking high-profile fights the way Bacon sometimes was.

“I think he speaks to the moderate Democrats as well as the Republicans,” said Truemper, who managed Bacon’s reelection campaign in 2018 and also worked for an unsuccessful primary challenger to him.

Even Powell said, “Don Bacon was a good representative of this district, and I think that there are a lot of people drawn to a pragmatic style of leadership in a state like ours.” But that may not be enough this year.

“People are worse off than they were before,” Powell said.

A local race may expose a wider party divide among neighbors

In the Elmwood Park neighborhood, Andy Maxwell, a 58-year-old pediatrician, said he likes to find the middle ground in politics and his community. But he recalled that, after putting up a Biden sign in his yard in 2020, his neighbors erected a Trump one.

“We don’t like all the turmoil part of it,” Maxwell said of politics nationally.

Nearby, 80-year-old Jerard Pearson called Democrats “feckless,” but said of Trump’s base supporters, “I’ve always been curious about this one-third level of crazy out there, a third of the population.” He is also no fan of a neighbor’s large “Harding for Congress” sign.

Truemper said Harding appreciates Trump’s endorsement but Nebraskans like to be wooed “person-to-person, rather than a national entity coming in.”

“Is that going to be the deciding factor?” she asked of Trump. “I don’t know.”

Weissert writes for the Associated Press.

The Glen Canyon Dam is shown releasing water into the Colorado River at the Grand Canyon in Page, Ariz., on March 5, 2008. Water levels in Lake Powell, the reservoir created by the dam, fell to their lowest levels on record over the weekend amid continuing severe drought. File Photo by Tami Heilemann/Department of the Interior/UPI | License Photo

Aug. 16 (UPI) — Lake Powell, a vital man-made water reservoir on the Colorado River, has fallen to its lowest level on record as the U.S. West endures a severe, long-lasting drought, official statistics show.

The lake’s levels fell to 3519.91 feet on Saturday — low enough to break the record of 3,519.92 feet set in April 2023, according to a reading published Sunday by the Bureau of Reclamation.

Federal officials say the effects of long-term drought had reduced Colorado River Basin system storage to about 36% of capacity as of April. This was due to a combination of the lowest snowpack on record last winter and record-breaking heat in March, which intensified drought conditions across the river basin.

The situation has set off widespread concerns over elevated risks to the essential water and power infrastructure that supplies more than 40 million people across the West.

The lake, which spans Utah and Arizona, is a reservoir created by the Glen Canyon Dam in Page, Ariz.

The Bureau of Reclamation in April predicted Lake Powell’s water year minimum probable inflow at just 2.78 million acre-feet — only 29% of historical average and one of the lowest on record.

It also warned lake could decline to below 3,490 feet — the minimum power pool level — by this summer without major intervention.

If Glen Canyon Dam declines below that level, water releases would be restricted, creating “uncertainty for users, downstream impacts, instability in regional power and water supplies, and a reduction in power generation.”

Another vital reservoir in the Colorado River Basin, Lake Mead, is also currently at its lowest level since it was created in the 1930s.

The Bureau of Reclamation and the Department of the Interior remain “committed to reducing the collective risk of both Lake Powell and Lake Mead falling below critical elevations to protect critical infrastructure to continue to meet the water and hydropower needs of the basin,” a spokesman told CNN on Sunday.

WASHINGTON — Ever since Kevin Warsh was nominated by President Trump in late January to lead the Federal Reserve, a question has lingered: Will he seek to raise interest rates to tame inflation or cut them as Trump has long demanded?

On Wednesday, Warsh may provide the first hints of an answer when he oversees his first Fed policy meeting as chair and holds a news conference afterward. Bond markets, which can swing sharply on a chair’s pronouncements, will be watching particularly closely for any signs of which way he leans.

“We expect the press conference to be pivotal,” Jonathan Pingle, an economist at investment bank UBS, wrote in a note. “This will be Kevin Warsh’s first public appearance as Chair. … We do not really know what his policy views are.”

Economists say Warsh will likely aim for a neutral approach, largely because he is taking over the Fed at a challenging time. Rising inflation has made it all but impossible for the Fed to cut interest rates anytime soon, which could stimulate growth and further raise prices. Hiring has improved noticeably since the beginning of the year, removing another key rationale for rate cuts. And the other 11 policymakers on the Fed’s rate-setting committee — including Warsh’s predecessor, former chair Jerome Powell — are split on whether an increase in the Fed’s key rate will be needed or if it can stay unchanged.

High inflation puts Fed in tough spot

Oil prices have fallen sharply on news that the U.S. and Iran have reached an initial deal to end their war, which could eventually cool inflation. Yet it’s unclear whether a permanent agreement can be reached.

“The right thing to do now is wait and see,” said William English, an economist at the Yale School of Management and a former top Fed economist.

Inflation has jumped to a three-year high of 4.2%, the government said last week, mostly because of higher gas prices. Even Trump has backed off a bit from his relentless demands for lower rates, and instead has argued that rate hikes — which the Fed undertakes to cool the economy and slow inflation — aren’t necessary.

In an interview earlier this month on NBC’s “Meet the Press,” Trump said, “Kevin is fantastic and I want him to do whatever he wants,” but added, “there’s no reason to raise rates.”

On Wednesday, the Fed is widely expected to keep its key rate at about 3.6%, where it has remained since last December. When the Fed reduces its rate, over time it can lower other borrowing costs for things like mortgages, auto loans, and business loans.

Changes likely to dash hopes for those seeking lower rates

Still, some changes are expected, which will disappoint those hoping for lower borrowing costs: The Fed is likely to drop language that suggests its next move will be a rate cut, and instead adopt wording that is more neutral. Several Fed policymakers in recent weeks have said that the Fed’s most likely next move is a hike, rather than a cut.

The central bank is also scheduled to release its quarterly economic projections, which include forecasts for how the Fed’s key rate will change over the next three years, on Wednesday. In March, those projections suggested the Fed would cut its rate once this year. Yet on Wednesday they will likely show no change in 2026, with maybe one or two cuts next year, economists say.

Warsh has criticized the projections for providing too much “forward guidance” to financial markets and leading Fed officials to stand by their forecasts for too long, even as the economy changes. Fed watchers will look closely to see if Warsh participates in the quarterly projections. If he doesn’t submit his own forecasts, it could be a sign he will seek to get rid of them entirely in the coming months.

Warsh to bring a new approach to Fed leadership

Outside of policy, Warsh is expected to bring a different style to the Fed than Powell, according to people who’ve worked with him. He wants Fed policymakers to give fewer speeches, have more debates behind closed doors and will likely avoid commenting on the daily ups and downs of the economy. Powell was relatively plainspoken and straightforward, while Warsh has suggested he sees the famously oracular Alan Greenspan, the Fed’s chair from 1987 to 2005, as a model.

“He’s just going to say less, because he doesn’t find that stuff very helpful,” said Robert Tetlow, a former senior policy adviser at the Fed.

Randall Kroszner, an economist at the University of Chicago who served on the Fed’s governing board from 2006 to 2009, when Warsh was also a governor, said the new chair would likely focus on bigger-picture questions, such as how AI will impact the economy. He will avoid thornier issues, such as whether tariffs raise inflation, which Powell was willing to address.

By avoiding such hot-button issues, the Fed could attract less negative attention from the White House, Kroszner said.

“He’s going to stay away from those,” Kroszner added. “If the Fed is to maintain its independence, it needs to maintain its focus.”

While seeking Trump’s nomination, Warsh called for “regime change” at the Fed and criticized the central bank for not preventing the 2021-22 inflation surge, when prices jumped 9.1% in a year, the biggest spike in four decades.

Yet Kroszner said Warsh will likely to seek to build consensus around changing things like the Fed’s communications policies, rather than imposing them. So far, former Fed officials say he hasn’t sought to fire top staff.

“He’s not there to break things,” Kroszner said.

During his Senate confirmation hearing in April, Warsh said he would focus on quelling inflation.

“Inflation is a choice, and the Fed must take responsibility for it,” he said then.

If he acts on that sentiment by keeping rates unchanged — or even raising them — Trump could end up disappointed in another Fed chair. He often threatened to fire Powell, whom he also appointed, for not cutting rates deeply enough.

“There’s at least a risk here that six months down the road, Trump is fulminating about how he didn’t get what he wanted from Warsh, and he’d like to fire Warsh,” English said.

Rugaber writes for The Associated Press.

BOSTON — Former Federal Reserve Chair Jerome Powell used one of his first major public appearances since leaving office to defend independent institutions while accepting an award Sunday honoring his efforts to preserve the central bank’s independence.

Speaking at the John F. Kennedy Presidential Library overlooking Boston Harbor, Powell called universities, courts, Congress and the central bank “the foundation and the embodiment of our democracy” and argued that the Fed’s independence was a “priceless asset” that must be protected.

It was one of his most direct defenses of Fed independence, warning that a single administration’s decision to remove bank officials over policy differences would open the way for future elected officials to follow suit, ultimately undermining the credibility that the Fed has spent decades building.

Powell, who frequently clashed with President Trump during his eight years as chair, stepped down as his term expired in May. He was succeeded by Kevin Warsh, whom Trump selected to lead the central bank.

After stepping down as chair, Powell took the unusual step of keeping his seat on the Fed’s governing board, which he has until January 2028. By doing so, he has deprived the Trump administration of an opportunity to appoint another member of the board.

The Trump administration has also sought to fire Fed governor Lisa Cook, which would open an additional seat on the rate-setting committee the president could fill. Yet Cook sued and the courts have so far let her keep her seat.

While Powell never mentioned Trump by name Sunday, he repeatedly returned to the importance of protecting institutions from political pressure and preserving public trust in their independence.

“Like many other institutions, the Fed has been undergoing a stress test,” he said. “Congress wisely chose to insulate monetary policy decisions from political pressure. All other advanced economy nations have done the same.”

Since 1989, the John F. Kennedy Profile in Courage Award has recognized public servants who make what the foundation describes as courageous decisions of conscience despite personal or professional consequences.

Previous recipients include former Presidents Barack Obama and George H. W. Bush, Ukrainian President Volodymyr Zelensky and former Vice President Mike Pence.

In March, the foundation said it was awarding Powell for protecting the independence of the Federal Reserve “despite years of personal attacks and threats from the highest levels of government.”

Trump harshly criticized Powell throughout his tenure as chair, frequently attacking the Fed’s interest-rate decisions and urging the central bank to cut borrowing costs more aggressively.

Beyond the Federal Reserve, Powell defended U.S. universities and research institutions, the Constitution, Congress and the court system.

“The United States has long been the leader of the world’s freedom-seeking people — the indispensable nation. Other countries know us as a nation built on integrity, and that integrity must be maintained,” he said.

In his remarks, Powell indirectly acknowledged mistakes as chair. The Fed is legally required to seek stable prices, but inflation surged amid the pandemic’s supply chain crunch. Many economists believe the central bank should have raised interest rates more quickly in response.

“At the Fed, we are, of course, human and thus imperfect,” Powell said. “When we make mistakes, we acknowledge them and change course.”

Powell was honored alongside residents of Minnesota’s Twin Cities, who received the award for what the Kennedy Foundation described as acts of courage during a federal immigration crackdown that led to thousands of arrests and the deaths of Minneapolis mother Renée Good and nurse Alex Pretti, both of whom were killed while observing or documenting enforcement activity.

“It’s wonderful just to be invited, honoring Renée,” Good’s father, Tim Granger, said as he entered the library with family members.

Kennedy’s only surviving child, Caroline Kennedy, and her son, Jack Schlossberg, said in a statement that without people like Powell and those in Minnesota “willing to put their lives on the line to hold America to its promises, our democracy can’t survive.”

Attendee U.S. Sen. Amy Klobuchar, who is running for governor of Minnesota next year, reflected that the award was unusual because it recognized ordinary residents rather than elected officials.

“This didn’t go to an elected leader for a reason,” Klobuchar said. “It’s because the people stood up. They stood up by marching 50,000 strong. They stood by bringing kids they didn’t even know — strangers’ kids — to school, by bringing them groceries and they didn’t blink. And that’s what this award is about. It’s about courage.”

Willingham writes for the Associated Press. AP journalist Christopher Rugaber contributed to this report from Washington.

Jerome Powell says the US central bank is undergoing a ‘stress test’ like other institutions in the current era.

Former US Federal Reserve Chair Jerome Powell has warned against the politicisation of monetary policy amid President Donald Trump’s repeated attacks on the independence of the central bank.

In a speech at an awards ceremony in Boston on Sunday, Powell said that the Fed had been undergoing a “stress test” like many other institutions in the Trump era.

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Powell said the US Congress had “wisely” chosen to insulate the central bank from political pressure and that all other advanced economies had similar norms upholding the independence of monetary policy.

“These protections have served the public well, and administrations from both parties have respected them,” Powell said after accepting the 2026 John F Kennedy Profile in Courage Award.

“If any administration finds a way to remove Fed officials over policy differences, then future administrations will do so as well,” Powell said.

“The public would lose faith that the central bank will make decisions based only on what’s best for all Americans.”

Powell, who stepped down as the head of the central bank last month, said that the Fed’s credibility would be “lost” in such a scenario.

“That credibility enables the Fed to support a strong and stable economy for the benefit of American families and businesses,” he said.

“Our credibility has been built and sustained over many decades, and we have a duty to safeguard that priceless asset for our fellow citizens and for generations to come.”

Powell, who made the usual decision to stay on as one of the seven members of the Fed’s Board of Governors after stepping down as chair, also offered a broader defence of democratic institutions generally.

“Partisan political differences are normal – indeed essential – in a thriving democracy. But we ought to be united in our commitment to the higher principles that define our nation,” Powell said.

“Chief among them is respect for the rule of law. As John Adams wrote, ours is ‘a government of laws and not of men’. Our public institutions carry us forward through change. These institutions embody our commitment to freedom, democracy, and service of the public good.”

While Powell did not mention Trump by name, the US president has waged a sustained pressure campaign against the central bank for not heeding his demands to cut interest rates more sharply.

Trump repeatedly threatened Powell with dismissal during his tenure, while Trump appointee and ally Jeanine Pirro opened a short-lived criminal investigation into Powell’s congressional testimony about ongoing renovation works at the Fed’s headquarters.

Trump also ordered the removal of Fed governor Lisa Cook over unproven claims of mortgage fraud, though the Supreme Court has ruled that she can remain in her position while it considers a legal challenge against her firing.

Under the Federal Reserve Act, the US president must demonstrate “cause”, widely interpreted to mean malfeasance, to remove any of the Federal Reserve’s governors.

The John F Kennedy Profile in Courage Award was created in 1989 to honour those who demonstrate courage in public service without regard to professional or personal consequences.

Past winners of the award, which is named after Kennedy’s Pulitzer-winning book Profiles in Courage, include former US President Barack Obama, then-Ukrainian President Viktor Yushchenko, and then-UN Secretary-General Kofi Annan.