Fed Watch

Federal Reserve Pick From Biden Administration To Come Before Thanksgiving

The financial media is abuzz with whether Lael Brainerd or Jerome Powell will be the next Chairman of the Federal Reserve. We have been reporting on the issue as political trade winds have blown and despite Powell’s steadily diminishing chances, we’d say that as of right now it looks likely that he will be reconfirmed. Part of this is because of the confirmation math. Powell was confirmed in 2018 with 84 votes and 68 of those Senators are still in their office.

By contrast, Powell has received a verbal chiding from some elements of the more progressive side of the Democratic party. As of right now though, only the very liberal Senators have come out opposing his nomination: Elizabeth Warren, Jeff Merkley, and Sheldon Whitehouse. Jon Tester, a moderate Democrat, has voiced support for Powell as have others in the Senate.

We’d also argue after talking to some of our staff that worked on the implementation of the Dodd-Frank Act and others who have expertise in the area that the picture painted by Warren of Powell as a dangerous anti-regulatory zealot is inaccurate. Nonetheless, as we’ve been saying for weeks, his scalp has become a potentially juicy political offering to a repeatedly disappointed. Progressives increasingly see regulatory agencies as a way to advance c...

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