"Senior White House Officials Support Powell's Reappointment as Fed Chair"

Bloomberg News Report
Possibility of Fed Chair Reappointment Announcement Alongside Leadership Changes

[Asia Economy New York=Correspondent Baek Jong-min] A green light has been turned on for the reappointment of Jerome Powell, Chairman of the U.S. Federal Reserve (Fed).

[Image source=EPA Yonhap News]

Bloomberg News reported on the 21st (local time), citing sources, that among key White House officials, Powell is receiving broad support as the next Fed Chairman.

Powell was appointed by former President Donald Trump in 2018, and his term ends in February next year. Whether he will be reappointed has attracted market attention as it could significantly impact the Fed's interest rate normalization process.

The sources said they have not discussed Powell's reappointment with President Joe Biden and expect that a decision will not be made at least until September.

In response, the White House told Bloomberg, "President Biden will appoint an economic chief team for the nomination of the next Fed Chairman." The White House also indicated that appointments for the vacant Fed leadership positions, in addition to the Fed Chairman, will be handled together.

The news agency also reported that Janet Yellen, Secretary of the Treasury, who can exert the greatest influence on Powell's reappointment, mentioned to her close aides that she maintains a good relationship with Powell and is pleased to work with him to overcome the COVID-19 pandemic.

Earlier, Secretary Yellen, in an interview with CNBC, evaluated that "the Fed has done well under Chairman Powell's leadership," and when asked if she supports his reappointment, she said, "That is a matter to discuss with the President."