Fed keeps rates on hold, Powell says he will remain in place until successor confirmed

"I have no intention of leaving the Board [of Governors] until the investigation is well and truly over with transparency and finality. Powell said that he intends to serve as "chairman pro tempore" of the Fed after his term as chair is up if his successor - Kevin Warsh, whom President Trump has nominated for the job - has not yet been confirmed."

"Sen. Thom Tillis (R-N.C.) is blocking Warsh's confirmation pending resolution of a criminal investigation of the Fed chair that Tillis, Powell and a federal judge believe to be a blatant pretext to try to coerce Powell to lower interest rates."

"If the administration wants to get rid of a Fed chair Trump has come to loathe, it will need to relent on the criminal investigation. U.S. Attorney Jeanine Pirro was defiant about continuing the investigation last week after a federal judge issued a scathing ruling quashing DOJ subpoenas of the Fed."

Federal Reserve Chair Jerome Powell announced his intention to serve as chairman pro tempore after his term ends if his successor Kevin Warsh remains unconfirmed. Powell pledged to stay on the Board of Governors until the criminal investigation against him concludes with transparency and finality. Senator Thom Tillis is blocking Warsh's confirmation, believing the investigation is a pretext to coerce Powell into lowering interest rates. Powell and Tillis are leveraging this situation against the Trump administration, which wants to replace Powell but must address the investigation first. The Fed maintained interest rates between 3.5% and 3.75% at its recent meeting, with one dissenting vote favoring a quarter-point cut. Rising oil prices from geopolitical tensions complicate the administration's demands for steep rate cuts.

Read at Axios