During his administration, he faced difficult times such as the Covid-19 pandemic, rising inflation, and constant political pressure from President Donald Trump, who had originally chosen him to hold office.

Powell became Fed chair in 2018, after being nominated by Trump to replace Janet Yellen. Previously, he had also been a member of the organization’s Board of Governors after being proposed by former President Barack Obama.

One of the most difficult moments of his mandate occurred in 2020, when the pandemic paralyzed the United States economy. At that time, the Fed lowered interest rates to almost zero to try to support economic growth.

However, years later inflation increased sharply and the Federal Reserve began to raise interest rates constantly to try to control the rise in prices.

The new Fed chairman will be Kevin Warsh, also close to Trump. His arrival occurs amid political tensions, after the president publicly criticized Powell for not reducing interest rates faster.

In addition to economic differences, Powell also faced investigations related to expenses in the renovation of the Fed headquarters in Washington, although a criminal accusation against him was dismissed months ago.

Despite leaving the presidency, Powell will continue as a member of the Fed’s Board of Governors while internal investigations conclude.