"Federal Reserve Mouthpiece": Powell plans to remain as a board member after stepping down to maintain policy stability and institutional independence

Odaily Planet Daily News reports that “the Federal Reserve’s mouthpiece” Nick Timiraos, citing informed sources, says that after Chair Powell steps down as Federal Reserve Chair in May 2026, he plans to remain on the Board of Governors. This practice is relatively rare in history, and the decision is believed to be related to recent uncertainties at the institutional and legal levels. It is said that Powell’s main purpose for remaining is to maintain continuity of monetary policy at a critical stage, ensuring that the Federal Reserve can operate independently within the existing framework. Informed sources say that related investigations and institutional disputes have, to a certain extent, strengthened his willingness to continue serving.

Analysts believe that while this move may help stabilize policy expectations, it could also have some impact on the transition to a new chair and internal decision-making mechanisms. Uncertainty remains about the length of his term and how his role will be positioned in the future. (Jin10)