Bessent, Trump's Treasury pick, states that Fed Chair Jerome Powell can serve the remainder of his term.

• Scott Bessent, chosen by President-elect Donald Trump for Treasury secretary, stated on CNBC that Federal Reserve Chair Jerome Powell can complete his term as head of the central bank.
• Trump stated to NBC News that he was unlikely to attempt removing Powell.

Despite prior insinuations that he could be pushed to step down, Federal Reserve Chair Jerome Powell can still finish his term leading the U.S. central bank, according to Scott Bessent, a hedge fund magnate and President-elect Donald Trump's pick for Treasury secretary.

Bessent concurred with the President's statement that Jay Powell would complete his term, as she shared this sentiment with CNBC following a Tuesday meeting with Sen. Mike Crapo of Idaho.

As speculation about Powell's future continues to grow, Trump has stated that he is unlikely to remove the Fed chair following his victory in the presidential race last month.

Trump stated to NBC News that Powell would probably resign if instructed, but wouldn't if requested. Nevertheless, the president-elect revealed he had no plans to do so at the present time.

The Key Square Group founder has previously suggested the idea of a "shadow" chair to lead the Fed, but Bessent's statements represent a shift in his stance.

Powell's tenure as chairman of the Federal Reserve will conclude in May 2026. Trump appointed him to this position in 2018. Biden renewed his term for another four years in 2022.

Powell stated that he did not believe Trump had the legal right to remove him from his position and he would not resign if requested.