Monetary Man

President Biden reappointed Chairman Powell to a second four-year term as Fed Head. Simultaneously, he promoted Lael Brainerd from Fed Governor to Vice Chair. With these titles, both will enjoy easy Senate confirmation. President Biden still has three more positions to fill on the seven-member Board of Governors. Through those hires he will placate his left-leaning base. Replacing Powell would have injected unnecessary uncertainty and would have appeared political.