Democrats regain control of the Senate, and Trump faces obstacles in appointing Federal Reserve governors.

Following the US midterm elections, the Democratic Party regained control of the Senate. With President Trump's nominations of Federal Reserve governors now requiring Senate confirmation, the Democrats have gained control of the Senate and will have a dominant role in the review and confirmation process. Currently, there are no vacancies on the seven-member Federal Reserve Board of Governors. Former Fed Chairman Jerome Powell will remain on the board until January 2028, making it difficult for Trump to change the composition of the board through new appointments in the short term. Democratic Senator Elizabeth Warren is expected to become chair of the Senate Banking Committee, strengthening scrutiny of Fed nominees. The new Congress will take office in January 2027. With Democrats controlling the Senate, they cannot directly prevent the White House from pressuring current Federal Reserve officials; future monetary policy will depend on inflation and economic data.