WASHINGTON (AP) — The Federal Reserve kept its key interest rate unchanged Wednesday and Chair Jerome Powell highlighted the increasingly uncertain outlook for the U.S. economy and inflation in the wake of the Iran war, suggesting the Fed could stand pat for an extended period.

Fed policymakers maintained their forecast for an additional rate cut this year, but in a news conference, Powell suggested that the central bank remains concerned about inflation that was still stubbornly elevated even before the conflict’s impact on gas prices.

“The thing I really want to emphasize is, nobody knows,” Powell said, referring to the impact of the Iran war. “The economic effects could be bigger, they could be smaller, they could be much smaller, they could be much bigger. We just don’t know.”

Powell said the central bank would need to see further progress in the price of goods declining as the impact of tariffs fades before cutting rates further. The Fed reduced its short-term rate three times last year to 3.6%, before pausing in January and on Wednesday.

“The rate forecast is conditional on the performance of the economy, so if we don’t see that progress then you won’t see the rate cut,” Powell said.

Investors were discouraged by such comments, sending share prices sharply lower. The broad S&P 500 index dropped 1.4%.

Fed officials “are aware they’ve missed their inflation target for five years, and they do not want to continue to miss it indefinitely,” said Nathan Sheets, chief economist at Citi and a former top economist at the Fed. Inflation, according to the Fed’s preferred measure, was 2.8% in January, up from 2.3% nearly a year ago. It’s also above the Fed’s target of 2%.

At the press conference, Powell did clarify a key question about the Fed’s future: He said he has “no intention” of leaving the central bank until an investigation into his congressional testimony about the Fed’s building renovation is dropped.

Last Friday, a judge threw out a pair of subpoenas that the Justice Department had issued to the Fed, dealing a blow to the investigation. But U.S. Attorney Jeannine Pirro has said she will appeal the ruling.

Powell’s term as Fed chair is scheduled to end on May 15, and President Donald Trump has nominated a former top Fed official, Kevin Warsh, as his replacement. Warsh’s confirmation has been delayed because key Republican senators are opposed to the DOJ probe.

Once the investigation is resolved and even after Warsh is confirmed, Powell could elect to stay on the board to finish his term as a Fed governor, which lasts until January 2028. But he told reporters he had not yet decided whether to do so.

Powell also maintained a largely optimistic outlook for the economy, pointing out that in recent years it has been hit with numerous shocks — tariffs, the Fed’s own rate hikes in 2022 and 2023, the aftermath of the pandemic — and has avoided recession all along.

“The U.S. economy has been doing really well through a lot of challenges,” Powell said. “It’s been amazing to see.”

In the Fed’s quarterly economic projections, also released Wednesday, officials only modestly raised their forecasts for inflation, and now expect it will end this year at 2.7%, up from their December forecast but slightly below the 2.8% it reached in January. They expect core inflation, which excludes the volatile food and energy categories, to also finish the year at 2.7%.

Fed officials slightly boosted their outlook for growth this year and expected unemployment to stay unchanged at 4.4%.

Tim Duy, chief economist at SGH Macro, said the forecasts were essentially “stale” as policymakers avoided fully taking into account the impacts of the Iran war on the economy.

The Fed considers core prices a better measure of longer-run inflation. Consumer prices will spike higher in the coming months as gas prices have soared, but those increases could unwind by the end of the year, particularly if the conflict ends soon.

One Fed official, governor Stephen Miran, dissented in favor of a quarter-point cut. Miran was appointed by President Donald Trump last September.

Gas prices jumped Wednesday to a nationwide average of $3.84 a gallon, according to AAA, up 92 cents from a month ago. The increase will push inflation much higher in March, but core inflation, since it excludes gas, could be much less affected.

Typically, the Fed would look past a supply shock like the disruption in oil supplies from the Middle East and its impact on inflation. Once it ends, any inflation it produces may fall back, without the Fed having to raise rates. As a result, the Fed could leave rates unchanged — or even cut them to boost weak hiring.

Even before the Iran war, problems had cropped up in both the inflation and jobs data, putting the Fed in a tight spot. Prices rose more quickly in January than in recent months, according to the Fed’s preferred measure, with inflation excluding food and energy reaching 3.1% compared with a year earlier. That is little changed from where it was two years ago, a sign that prices are still rising at a stubbornly elevated pace.

Yet hiring has also stumbled. Businesses and other employers shed 92,000 jobs in February, the government reported earlier this month, an unexpectedly weak showing that followed an encouraging gain of 130,000 in January. The unemployment rate ticked higher to a still-low 4.4% from 4.3%.

WASHINGTON (AP) — Attorney General Pam Bondi was subpoenaed Tuesday to answer questions from Congress about the Justice Department’s sex trafficking investigation of Jeffrey Epstein and the agency’s handling of millions of files related to the disgraced financier.

Bondi was ordered to appear for a deposition on April 14 by the Committee on Oversight and Government Reform after a vote earlier this month that was supported by five Republicans.

The Justice Department’s failure to fend off the subpoena from the Republican-led committee underscores widespread discontent among President Donald Trump’s own base over Bondi’s management of the review and release of a trove of documents from the criminal investigation into Epstein.

“The Committee has questions regarding the Department of Justice’s handling of the investigation into Jeffrey Epstein and his associates and its compliance with the Epstein Files Transparency Act,” Rep. James Comer, the Republican chairman, said in a letter to Bondi.

“As Attorney General, you are directly responsible for overseeing the Department’s collection, review, and determinations regarding the release of files pursuant to the Epstein Files Transparency Act, and the Committee therefore believes that you possess valuable insight into these efforts,” he wrote.

The department on Tuesday called the subpoena “completely unnecessary.” Bondi and Deputy Attorney General Todd Blanche were expected to provide a private briefing Wednesday to members of the committee.

“Lawmakers have been invited to view the unredacted files for themselves at the Department of Justice, and the Attorney General has always made herself available to speak directly with members of Congress,” the department said in a statement. The agency said it looks forward to “continuing to provide policymakers with the facts.”

The Trump administration has faced constant political headaches since the rollout of the files began in December, with critics accusing the department of hiding certain documents and over-redacting files. In other cases, victims have slammed the department for sloppy redactions that revealed their sensitive information.

The Justice Department has fiercely defended its handling of the Epstein files, saying it worked as quickly and diligently as possible to review and release millions of documents required under the law. The department has denied any accusations that it used redactions to protect certain people or improperly withheld certain materials. And it has said it immediately worked to fix any redaction errors raised by victims.

PARK CITY, Utah (AP) — A Utah woman was convicted Monday of aggravated murder after poisoning her husband with fentanyl and self-publishing a children’s book about coping with grief.

Prosecutors said Kouri Richins slipped five times the lethal dose of the synthetic opioid into a cocktail that her husband Eric Richins drank in March 2022 at their home outside the affluent ski town of Park City. They said she was $4.5 million in debt and falsely believed that when her husband died, she would inherit his estate worth more than $4 million.

“She wanted to leave Eric Richins but did not want to leave his money,” Summit County prosecutor Brad Bloodworth said.

Richins, 35, stared at the floor and took deep breaths as the judge read the verdict.

She was also convicted of other felonies, including attempted murder for trying to poison her husband weeks earlier on Valentine’s Day with a fentanyl-laced sandwich that made him black out. Jurors also found Richins guilty of forgery and fraudulently claiming insurance benefits after his death.

The jury deliberated for just under three hours. Afterward, family members on both sides of the case left the courtroom hugging and crying.

“Honestly I feel like we’re all in shock. It’s been a long time coming,” said Eric Richins’ sister, Amy Richins, adding that the family can now focus on honoring her brother and supporting his sons. “Just very happy that we got justice for my brother.”

Relatives of Kouri Richins left the courthouse without speaking to media.

Sentencing was scheduled for May 13, the day her husband would have turned 44. The aggravated murder charge alone carries a sentence of 25 years to life in prison.

What was scheduled to be a five-week trial was cut short when the defendant waived her right to testify, and her legal team abruptly rested its case without calling any witnesses. Her attorneys said they were confident that prosecutors did not produce enough evidence over the past three weeks to convict her of murder.

‘A wife becoming a black widow’

The prosecution said Richins, a real estate agent focused on flipping houses, was deep in debt and planning a future with another man. She had opened numerous life insurance policies on her husband without his knowledge, with benefits totaling about $2 million, prosecutors said.

Richins also faces 26 other money-related criminal charges in a separate case that has not yet gone to trial.

Earlier Monday, prosecutors showed the jury text messages between Richins and Robert Josh Grossman, the man with whom she was allegedly having an affair, in which she fantasized about leaving her husband, gaining millions in a divorce and marrying Grossman.

The internet search history from Richins’ phone included “what is a lethal.dose.of.fetanayl,” “luxury prisons for the rich America” and “if someone is poisned what does it go down on the death certificate as,” a digital forensic analyst testified.

Bloodworth replayed for the jury a clip of Richins’ 911 call from the night of her husband’s death. That’s “not ‘the sound of a wife becoming a widow,’” he said, quoting the defense’s opening statement. “It’s the sound of a wife becoming a black widow.”

Defense attorney Wendy Lewis responded that the prosecution “looks at facts one way and sees a witch, but if you look at those facts another way, you see a widow.”

‘Give us the details that will ensure Kouri gets convicted’

The defense focused on trying to discredit the prosecution’s star witness, Carmen Lauber, a housekeeper for the family who claimed to have sold Richins fentanyl on multiple occasions.

Lewis argued Lauber did not deal fentanyl and was motivated to lie for legal protection. Lauber said in early interviews that she never dealt the synthetic opioid, but later said she did after investigators informed her that Eric Richins died of a fentanyl overdose, the defense noted.

Richins had asked Lauber for “the Michael Jackson stuff,” which Bloodworth said likely refers to the drug combination that killed the singer.

“She knows she wants it because it is lethal,” he argued.

The housekeeper was already in a drug court program as an alternative to incarceration on other charges when authorities arrested her in connection with the Richins case, investigators said. She had also violated some conditions of drug court.

The defense showed a video of law enforcement warning Lauber that they could pull her drug court deal and that she could face a lengthy prison sentence.

“Give us the details that will ensure Kouri gets convicted of murder,” a man in the video said.

Lauber was granted immunity for her cooperation in the case. She testified that she felt a need to “step up and take accountability of my part in this.”

Children’s book becomes a tool for prosecutors

Shortly before her arrest in May 2023, Richins self-published the children’s book “Are You with Me?” about coping with the loss of a parent. She promoted it on local TV and radio stations, which prosecutors pointed to in arguing that Richins planned the killing and tried to cover it up.

Summit County Sheriff’s detective Jeff O’Driscoll, the lead investigator on the case, testified that Richins paid a ghostwriting company to write the book for her.

O’Driscoll said shortly after Richins’ arrest, her mother sent the book to the sheriff’s office in an anonymous package with a note saying it exemplified the “true Kouri, a devoted wife and adoring mother.”

Prosecutors also showed the jury excerpts of a letter found in Richins’ jail cell that they said appeared to outline testimony for her mother and brother. In the six-page letter, Richins instructed her brother to tell her former attorney that Eric Richins confided in him about getting fentanyl from Mexico and “gets high every night.”

Defense attorneys said the letter contained a fictional story their client was working on. They argued that Eric Richins was addicted to painkillers and asked his wife to procure opioids for him.

However, Richins told police on the night of her husband’s death that he had no history of illicit drug use, according to body camera footage shown in court.