Overview

• Adriana Kugler will resign from her seat on August 8, six months before her term expires, to return to Georgetown University as a professor.
• President Trump gains his first opportunity of his second term to appoint a Fed governor, potentially picking a candidate aligned with his push for interest-rate cuts.
• Kugler’s absence from this week’s FOMC meeting, officially for personal reasons, prevented her from casting a vote to hold rates steady.
• Filling her unexpired term affects the seven-member board’s balance between hawkish and dovish policymakers and could influence upcoming rate decisions.
• Her departure also intensifies speculation over who will succeed Jerome Powell when his chairmanship ends in May 2026.