Thursday, 2 November 2017

President Trump nominates Jerome Powell as next Fed chair

Impossible as it may be to believe, the biggest event in markets today was not the Bank of England's decision to raise interest rates for the first time since July 2007.
It was, in fact, the appointment of a new chairman of the board of governors of the US Federal Reserve - the world's most important central bank.
President Trump confirmed on Thursday evening that he was nominating Jerome 'Jay' Powell as successor to Janet Yellen, who has held the post since early 2014.

At a White House news conference, he described Powell as a "consensus builder for sound monetary policy" and said he understands what it takes to make the economy grow.

As it happened, while sterling fell sharply against the dollar following the UK's interest rate decision, the markets barely moved when the appointment was confirmed. That was probably because Powell's nomination was leaked 24-hours earlier.

The move marks a break with recent tradition as Ms Yellen's three immediate predecessors were all reappointed for a second four year term by presidents from the opposite party to the one that put them in office.

SKY         News.