Federal Reserve Chair Jerome Powell announced he would not resign if President-elect Donald Trump asked him to step down early.

Speaking after a quarter-point interest rate cut, Powell emphasized that removing any of the Fed's seven governors is legally impermissible.

Powell's term as chair is scheduled to conclude in 2026.

Trump's criticisms hinged on accusations that Powell favored Democrats, suggesting intentions to replace him when his term ends.

The President-elect has also expressed a desire to influence Fed interest rates, which is currently outside presidential authority due to the Fed's independent mandate from Congress.

Federal Reserve governors, appointed for 14-year terms by the President and confirmed by the Senate, can continue serving if a vacancy arises during their term.

Powell's current position allows him to remain a governor until 2028 if he chooses to continue after stepping down as chair.