Federal Reserve's Michael Barr Resigns as Vice Chair for Supervision

Barr's resignation, effective February 28, clears the way for President-elect Trump to appoint a successor aligned with lighter banking regulations.

Michael Barr announced he will step down as Federal Reserve Vice Chair for Supervision but will remain a governor on the Fed's Board until 2032.
The decision avoids a potential legal dispute with President-elect Trump, who had considered removing Barr from his role.
Barr's departure accelerates opportunities for the incoming administration to implement a more industry-friendly regulatory agenda.
Fed Governor Michelle Bowman, a critic of Barr’s regulatory approach, is seen by analysts as a likely candidate for the role.
The Federal Reserve has stated it will not pursue significant rule changes until a new vice chair for supervision is confirmed.