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Fed Chair Nominee Testifies before Senate Banking Committee

We expect interest rates to rise somewhat further and the size of our balance sheet to gradually shrink. However, while we endeavor to make the path of policy as predictable as possible, the future cannot be known with certainty. So we must retain the flexibility to adjust our policies in response to economic developments.
FRB Governor Jerome H. Powell
We expect interest rates to rise somewhat further and the size of our balance sheet to gradually shrink. However, while we endeavor to make the path of policy as predictable as possible, the future cannot be known with certainty. So we must retain the flexibility to adjust our policies in response to economic developments.
FRB Governor Jerome H. Powell

Jerome H. Powell, nominee to become Chair of the Board of Governors of the Federal Reserve System ("FRB"), testified before the U.S. Senate Banking Committee. Mr. Powell was nominated by President Donald J. Trump on November 2, 2017. He has been an FRB Governor since 2012, and previously served as Assistant Secretary and Undersecretary of the Treasury under President George H.W. Bush.

In testimony before the Committee, Mr. Powell stated that he "will do everything in his power" to fulfill the FRB goals of maximum employment and price stability. He asserted a firm commitment to transparency and accountability, and vowed to take into account diverse perspectives on monetary policy. If confirmed, Mr. Powell declared, he will seek to facilitate continued economic progress while maintaining the flexibility necessary to make adjustments to unexpected developments. The FRB, Mr. Powell said, will seek to appropriately tailor regulations to the size and risk profiles of banks. He emphasized the need to ease regulatory burdens while maintaining strong levels of capital liquidity, stress testing and resolution planning.

If confirmed by the full Senate, Mr. Powell will replace Janet Yellen as FRB Chair. After President Trump nominated Mr. Powell, Ms. Yellen submitted her resignation (effective on February 3, 2018).

Primary Sources

  1. Jerome H. Powell: Statement before Senate Banking Committee
  2. Senate Banking Committee: Executive Session and Nomination Hearing – Jerome H. Powell

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Individuals
Janet L. Yellen , Jerome H. Powell
Regulated Activities
Governance
Sub-Activity
Regulatory Personnel Changes
Regulated Entities
Regulatory Agencies
Body of Law
Banking Law
Jurisdiction
US - Federal
Organization
US Congress US Banking Regulators
Sub-Author
Federal Reserve Board