Powell to Stay on Fed Board After Chair Term Ends

Federal Reserve Chair Jerome Powell announced Wednesday that he will remain on the Federal Reserve Board of Governors after his term as chair ends on May 15, citing concerns over the central bank's independence amid pressures from the Trump administration.

Powell's decision came during a news conference following the Federal Open Market Committee's decision to hold the federal funds rate steady in a range of 3.50 percent to 3.75 percent for a third consecutive meeting. The move reflected elevated inflation, partly due to higher global energy prices from the ongoing Middle East conflict involving the US, Israel, and Iran. The decision drew unusual dissent, with four of 12 voting members opposing it, the largest number since 1992. One governor sought a quarter-point cut, while three regional presidents supported the pause but objected to the statement's signal toward future reductions.

Powell, whose governor term extends to January 2028, said he had planned to retire but recent events changed his mind. "I worry that these attacks are battering the institution and putting at risk the ability to conduct monetary policy without taking into consideration political factors," he told...