In Choice of Fed Chairman, Trump Downgrades Deregulation
By BINYAMIN APPELBAUM
President Trump’s short list of candidates for Federal Reserve chairman all have this much in common: They do not share his frequently professed passion for financial deregulation. Jerome H. Powell, the Fed governor whose candidacy is said to be backed by Treasury Secretary Steven Mnuchin, participated in the construction of the current rules, and he has defended the bulk of the changes made after the 2008 financial crisis as necessary safeguards for the broader economy. But some independent analysts and congressional Republicans argue that choosing Mr. Powell would be a gamble. Karen Shaw Petrou, managing partner at Federal Financial Analytics, which tracks regulatory issues for financial industry clients, said that she expected Mr. Powell would defer to Mr. Quarles. “That said,” she continued, “Powell will generally favor course corrections, not redirections.” Mr. Powell’s regulatory views are also raising eyebrows among conservatives on Capitol Hill. Mr. Powell joined the Fed in 2012 but, because of a procedural quirk, he had to be confirmed again in 2014. Twenty-three Republicans voted against him, with several citing his record of support for new financial regulations; all but two of those senators are still serving.
https://www.nytimes.com/2017/10/29/business/federal-reserve-chairman-trump.html
