Federal Reserve Chair Jerome Powell is stepping down, with Kevin Warsh set to succeed him, as reported by The New York Times. This leadership transition is seen as a potential shift in U.S. monetary policy, with Warsh advocating for structural reforms at the Fed. His proposals include reassessing inflation models, reducing the balance sheet, and enhancing coordination with the Treasury. Powell's tenure was marked by significant challenges, including extreme monetary easing during the pandemic and a subsequent tightening cycle to combat high inflation. Despite controversies, Powell managed to reduce inflation without triggering a recession. Warsh's reform ideas have sparked debate among Wall Street and academia, with concerns about central bank independence and systemic risk. The market is closely monitoring Warsh's first FOMC meeting, as his leadership could influence U.S. interest rate paths and global financial markets.