Trump Poised to Allow Fed Chair Powell to Complete His Term

According to a senior advisor who wishes to remain anonymous, Trump seems likely to allow Fed Chairman Jerome Powell to continue in his role for the remainder of his term, which ends in May 2026. The advisor cautioned that Trump could always change his mind, but his current view – and that of Trump's economic team – is that Powell should remain at the helm of the central bank while continuing his policy of lowering interest rates. Trump appointed Powell, a former Republican private equity executive who serves on the central bank's board, to the top position in 2018. President Joe Biden reappointed him for a second four-year term. Reports suggest that Gary Cohn, a Goldman Sachs alumnus who served as the director of economic policy during Trump’s first administration, is interested in the job. However, former Trump officials stated that Cohn's resignation in protest of Trump's steel tariffs significantly decreased his chances of being considered for the position.