The US Treasury Secretary leads the search for the new president of the monetary authority. Although he assured that they seek to preserve the independence of the Central Bank.
He United States Treasury Secretary, Scott Besentdelineated the profile of the next president of The Federal Reserve (Fed)while the attacks of the administration of Donald Trump intensify about the current one, Jerome Powell. He emphasized that the candidate must be able to “Examine the entire organization” because the institution expanded its powers beyond traditional monetary policy.
In an interview published Monday, Besent said that The new Fed Chief must gather three fundamental characteristics: “He is someone who has to have the confidence of the markets, The ability to analyze complex economic data“The official said in statements to the Japanese press.
The third quality is quite illustrative of the approach looking for the Trump administration for the Central Bank. “It is also someone who It must be very tune with future thinking, as opposed to trusting historical data“Besent said, suggesting a paradigm shift in the management of monetary policy.
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A search in progress
According to sources consulted by Reuters, Besent is actively leading the search for Powell’s successor. The list of candidates includes both A long -careful economic consultant as to a Regional President of the US Central Banks System.
However, the Secretary of the Treasury was careful when addressing the tension between the presidential expectations and the institutional autonomy of the Central Bank. “While the president makes his opinion known, at the end of the day, the Fed is independent,” he said.
The selection process of the new Fed president will be observed closely by global financial markets, considering the central role that the institution plays in the stability of the international financial system.
Source: Ambito
