Federal Reserve Chair Jerome Powell has repeatedly declined to say whether he will leave the U.S. central bank when his four-year term as chair expires in May 2026, telling reporters this week that he has “nothing” to add on his plans. Because Powell’s underlying term as a governor runs until January 2028, he could legally remain on the Board of Governors for almost two more years, a prospect that is complicating President Donald Trump’s search for a successor who would be more inclined to cut interest rates. If Powell stays on the board, Trump would have only one scheduled vacancy—Governor Adriana Kugler’s seat, which opens in January—to reshape the seven-member panel until late in his term. Administration officials are therefore preparing multiple scenarios, including the possibility that the next Fed chair is first appointed to Kugler’s seat and elevated later. A recent Supreme Court ruling that limits the president’s ability to dismiss a Fed chair without cause has further strengthened Powell’s hand. Trump said he is weighing “two or three” leading candidates. People familiar with the process say contenders include Treasury Secretary Scott Bessent, National Economic Council Director Kevin Hassett, current Governor Christopher Waller, former Governor Kevin Warsh and former World Bank President David Malpass. Bessent’s name has even surfaced for an unprecedented dual role as Treasury secretary and Fed chair, an idea the White House has publicly denied. Deputy Treasury Secretary Michael Faulkender added pressure on Powell this week, saying he “would hope” the chair follows tradition and relinquishes his board seat next May. Market participants are already positioning for a change. Some traders have bought Secured Overnight Financing Rate futures that would benefit if borrowing costs fall soon after Powell’s term ends. Economists warn the strategy may be premature: the federal funds rate is currently 4.25%–4.5%, and any move to ease policy would still require majority support from the 12 voting members of the Federal Open Market Committee. “A chair can’t act like a dictator,” said NYU economist Mark Gertler, noting that recent Fed projections show officials divided over the timing and scale of future cuts. Powell’s reluctance to reveal his intentions is seen by some Fed watchers as a bid to shield the institution’s independence. With Trump openly calling for lower rates, the chair’s silence leaves open the possibility that he could remain an influential voice—whether from the center seat or from one of the six others around the FOMC table.