Fed Chair Jerome Powell's term ends [Photo courtesy of Reuters Yonhap News]

Jerome Powell, the Chairman of the U.S. Federal Reserve (Fed), will serve as interim chairman until the inauguration of his successor, Kevin Warsh, after stepping down from his chairmanship on the 15th (local time), the Fed announced on the same day.

The Fed stated that it held a board meeting on the same day and nominated Powell as interim chairman.

The Fed explained, "This interim measure of appointing the current chairman as interim chairman is in line with previous practices during chairman transitions."

Michelle Bowman, Vice Chair for Supervision, and Stephen Myron, Governor, who were appointed by President Donald Trump, issued a joint statement regarding the board's decision and expressed their opposition to the indefinite term of the interim chairman.

They expressed their support for Powell's interim chairmanship until Warsh takes the oath of office, but argued that the interim chairmanship period should be explicitly limited to at least one week to one month, and that the term should be extended through a re-vote if unavoidable.

Powell, who has led the Fed since 2018, completes his term as chairman as of today. His term as a Fed Governor lasts until January 31, 2028.

Powell had previously stated that he would remain as a Governor for some time even after his chairmanship ended, until the Department of Justice's investigation was finally concluded.

Warsh, the nominee for the next Fed Chair, is expected to be inaugurated as the new Fed Chairman soon. The U.S. Senate confirmed Warsh's nomination on the 13th.