U.S. Treasury Secretary Bensont: Powell should leave the Fed Board when he leaves the Fed in 2026

Odaily Planet Daily News U.S. Treasury Secretary Bessant suggested that Federal Reserve Chairman Powell should step down from the Federal Reserve Board when his term as chairman ends in May 2026. Bessant said on Tuesday: "According to tradition, the Federal Reserve Chairman will also resign from the position of governor when he leaves office. There has been a lot of discussion about the 'shadow Federal Reserve Chairman', saying that it will cause confusion before the official nomination. I can clearly say that if the former Federal Reserve Chairman continues to serve on the Board, it may be very confusing for the market." Powell's term as a Federal Reserve governor will not end until January 2028, which means that even if his term as chairman ends in May next year, he may still stay in the Federal Reserve and participate in monetary policy formulation. Powell has repeatedly avoided responding to whether he will continue to serve as a governor. This silence complicates the decision-making of President Trump and his aides when adjusting the Federal Reserve leadership next year. Bessant also said: "The formal process for determining the nomination of the next Federal Reserve Chairman has been initiated, and there are many excellent candidates both inside and outside the Federal Reserve." (Jinshi)