Powell, who has been on the Fed board since 2012, was tapped by Trump on November 2 after a highly public search for a new Fed chair.
Mr Powell (64) has been a serving Fed governor since 2012.
Jerome Powell was sworn in on Monday as the US Federal Reserve's 16th chairman.
During the 2016 presidential campaign, Trump alleged that Yellen kept interest rates low for political reasons to benefit Obama.
Yellen gradually increased interest rates in the final years of her six-year tenure in response to near-unprecedented stock market rallies and increased wage growth.
"The financial system is much better capitalized". He was reappointed to the board and sworn in on June 16, 2014 for a term to end on January 31, 2028. President Trump has nominated Marvin Goodfriend, a conservative economist, to join the board.
Mr. Trump has not announced nominees for the other three seats on the board. But in 2010, the Fed centralized the regulation of large banks to improve the consistency of regulation and to take a broad view of issues affecting multiple banks. The Fed is limiting Wells Fargo from growing any larger than its total assets at the end of 2017 until such time as "sufficient improvements" have been made. Later the two men worked together at the Carlyle Group, a private equity investment firm.
He served as an assistant secretary and as undersecretary of the Treasury under President George Bush, responsible for policy on financial institutions, the Treasury debt market, and related areas. I am also pleased to report that our financial system is now far stronger and more resilient than it was before the financial crisis that began about a decade ago.
He hinted at that in his video, saying, "We will also work hard to make sure that our regulation and supervision are efficient as well as effective".