Powell Should Stay at the Fed After His Chairmanship Ends

The article argues Jerome Powell should remain on the Federal Reserve Board as a governor after his chair term ends in May to help protect Fed independence amid Justice Department scrutiny and presidential pressure.

Jerome Powell said the Federal Reserve was served with grand jury subpoenas related to his June congressional testimony about renovations to Fed headquarters. His chairmanship of the Fed ends in May. The article urges that he remain on the Board of Governors after May to help preserve the institution's independence. Senator Thom Tillis has said he will oppose presidential nominees to the Fed until the legal matter is resolved. Key points: - Powell reported that grand jury subpoenas were served and that the subpoenas raised the prospect of criminal charges related to his June testimony on Fed renovations. - His term as Fed chair ends in May, and the article recommends he stay on the Board of Governors afterward. - Senator Thom Tillis announced he would oppose presidential nominees to the Fed until the legal matter is resolved. - The article notes the Fed's policymaking committee includes seven governors and five regional Reserve Bank votes, a structure the piece describes as intended to support institutional independence. Summary: The article frames these developments as a challenge to Federal Reserve independence and argues that Powell's continued service on the Board would help preserve evidence-based policymaking. It reports the legal matter is unresolved and that Senator Tillis has pledged to block nominees until it is resolved. Undetermined at this time.