Fed Leadership Change Soothes Anxiety for Mid-Market Borrowers

Mid-market deals are sensitive to interest rates – which is why the long-running feud between President Donald Trump and Federal Reserve Chair Jerome

Mergers and Acquisitions • February 24, 2026

By Vishesh Raisinghaniz

Powell over the benchmark rate has left a lasting imprint.

For private equity firms, lenders and corporate buyers, that tension translated into higher risk premiums and a more cautious approach to dealmaking. Kevin Warsh’s appointment as Powell’s successor has begun to change that calculus.

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