Kugler's surprise resignation could speed up Trump's selection of the next Fed chairman

Huoxun Finance reported on August 2nd that Federal Reserve Board Governor Kugler abruptly announced his resignation on Friday, giving US President Trump the opportunity to fill the Fed vacancy earlier than expected and potentially forcing him to finalize his next chairmanship months in advance. Derek Tang, an economist at the monetary policy analysis firm LHMeyer, said, "The ball is now in Trump's court. He has been pressuring the Fed to install his own candidate. Now is his chance." While Powell's term as chairman ends in May of next year, his term as a Fed board member runs until 2028. If Powell doesn't resign voluntarily, Trump won't have another chance to fill the vacancy before 2028. In this scenario, Trump might be forced to replace Kugler with a candidate he's considering promoting as chairman. Tobin Marcus, head of US policy and political strategy at Wolfe Research, noted, "The key is that this is the only vacancy Trump can fill. If he wants to find the next Fed chair from outside, the nomination could be announced earlier."