ME News says that although Powell’s reappointment approach is unusual, he will behave discreetly during his term on the board and will not become a “shadow chairman” to challenge Waller. If he lives up to his word, he may return to the FOMC and express a mild view on interest-rate issues. Although he will no longer lead policy, due to his 14-year board tenure and the structural mismatch, he still has influence over the Federal Reserve’s future. If Powell steps down, Trump could have nominated Waller to take over the remaining term and reserved a seat for a potential nominee, but in reality, Waller can only fill the Milan seat.

MeNews

2026-05-24 07:48:22

Abstract generation in progress

ME News Report, May 15 (UTC+8), Congress Hill News Business Editor Sylvan Lane stated that Powell promised that although his reappointment is unusual, he will remain "low-key" during his tenure on the board and will not become a "shadow chairman" challenging Wacht. If he follows through, Powell is likely to return to the Federal Open Market Committee and express his views on interest rates in a moderate manner. The U.S. Federal Open Market Committee is increasingly divided on how to respond to the inflation surge caused by Iran. Although Powell may no longer lead the Fed's policies, due to the unique composition of the Federal Reserve Board, he could still have a significant influence on the future of the Fed. The seven members of the Federal Reserve Board serve 14-year terms, staggered. However, the length of the terms does not reset when new directors replace departing members. If Powell leaves the Fed entirely after his chairmanship ends, Trump could have nominated Wacht to fill the remaining term of Powell's board seat, while reserving another Fed director seat for a potential nominee. But in reality, Trump can now only nominate Wacht to fill the temporarily occupied director seat of Milan. (Source: Jintian)

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HypeVaccinated

· 6h ago

Trump originally planned for a consecutive nomination, but now it has to be done step by step. Powell's retention objectively disrupts this rhythm, leading to unintended consequences.

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GateUser-818d3026

· 17h ago

The FOMC's voting mechanism means that even if not the chair, a single board member's vote can influence policy direction, and Powell's moderate stance will not disappear.

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TheFeelingOfEthInTheSeaBreeze

· 05-24 10:54

Vosh filling Milan's seat is just a stopgap measure; the real showdown is the 2026 presidential nomination, when the true battle will take place.

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GateUser-e4351615

· 05-24 08:07

The structure of the board member seats is too critical; a single vacancy can change the entire power landscape, and political games are everywhere.

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Frost-ColoredCubeCity

· 05-24 08:01

The shadow chairman does not exist, but the voices of the moderates always carry weight in the FOMC, Powell understands this.

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MevHasMeCompletelyConfused.

· 05-24 07:58

From the chairman to ordinary directors, shifting mindset is not easy. If Powell can truly stay calm, his subsequent influence might last even longer.

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MintedAtDawn

· 05-24 07:54

A 14-year term + dislocated structure, this institutional design indeed allows departing chairpersons to continue contributing, and the checks and balances at the Federal Reserve are quite interesting.

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L2NightRunner

· 05-24 07:53

Wosh is now running back and forth, needing to secure Milan's seat while waiting for his own nomination; Trump's maneuver has limited his room for action.

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TransparentDome

· 05-24 07:53

Powell's move is quite steady, not seeking to steal the spotlight but keeping a backup plan, very experienced.

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