Jerome Powell said he will stay on as a Federal Reserve governor after his chair term ends on May 15, keeping a vote on the central bank board until his governor term expires in January 2028. [1]
Powell said he is worried about political interference and legal attacks on the Fed's independence, saying they threaten the central bank's ability to make monetary policy without political pressure. He added that the Fed would keep basing decisions on rigorous analysis, not politics. [1]
His choice prevents President Donald Trump from immediately filling the vacancy on the Board of Governors. Trump attacked Powell on Truth Social, calling him Jerome "Too Late" Powell and saying nobody else wants him. Treasury Secretary Scott Bessent also criticized the decision, saying it "flies in the face of tradition." [1]
Powell said he plans to keep a low profile if he remains a governor and expects Kevin Warsh to become the next Fed chair once confirmed and sworn in. He said, "There's only ever one chair of the Federal Reserve Board. When Kevin Warsh is confirmed and sworn in, he will be that chair." [1]
The decision breaks with a long-standing pattern. Fed chairs have typically stepped down from the Board of Governors when their chair term ends, and the last similar case was Marriner Eccles in 1948-1951. Powell's governor term is scheduled to run until Jan. 31, 2028. [1]