Jerome Powell announced he will stay on the Fed's board of governors after his term as chair ends May 15, blocking Trump from filling the seat with a nominee he prefers. Powell cited a series of unprecedented legal attacks on the Fed's independence by the Trump administration, including a Justice Department investigation into the central bank's renovation spending that was recently closed but could be reopened. This move is significant because it removes Trump's immediate opportunity to shift the Fed toward lower interest rates, and it signals Powell views the Fed's institutional independence as under threat — a concern that's driven his decision to extend his tenure beyond his planned retirement.