Powell to Stay on Fed Board After Chair Term Ends

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 the need to protect the central bank's independence amid ongoing legal and political pressures.

Speaking after his final Federal Open Market Committee meeting as chair, Powell said he plans to stay until a suspended Justice Department investigation into his handling of the Fed's building renovations is resolved with "transparency and finality." The probe, which a court blocked through subpoenas, was halted last week but could reopen if new evidence emerges. "I will not leave the board until this investigation is well and truly over," Powell stated. His term as governor runs until 2028.

Powell's decision comes after repeated public criticisms from President Donald Trump, who has called for lower interest rates and threatened to fire him if he does not resign. Trump responded to the announcement by saying Powell was staying because "he can't get a job anywhere else. Nobody wants him." Treasury Secretary Scott Bessent described the move as a "violation of all Federal Reserve norms." Powell has also supported Governor Lisa Cook in a Supreme...