Who will be the next Fed chair?
August 8, 2017 1:46 PM
Andrew Harrer/Bloomberg
Janet Yellen
President Trump has been coy about whether he plans to renominate Fed Chair Janet Yellen, who first became chair in 2014 after serving as vice chair at the agency since 2010. In an interview with The Wall Street Journal in late July, Trump said he "liked her," referring to her as a "low interest-rate person." When pressed about whether she might be reappointed, Trump said, "She's in the running to stay."
Despite the president's words, however, a reappointment is still considered unlikely. For starters, Yellen faces opposition among conservative Republicans, who want to see significant changes at the Fed. Trump has also been critical of Yellen in the past, accusing her of trying to help the Obama administration. It seems unlikely Trump would risk political blowback from his own party by reappointing Yellen.
Despite the president's words, however, a reappointment is still considered unlikely. For starters, Yellen faces opposition among conservative Republicans, who want to see significant changes at the Fed. Trump has also been critical of Yellen in the past, accusing her of trying to help the Obama administration. It seems unlikely Trump would risk political blowback from his own party by reappointing Yellen.
Albin Lohr-Jones/Bloomberg
Gary Cohn
National Economic Council head Gary Cohn is widely considered the front-runner to be the next Fed chair. Though Trump may take some heat for nominating a former executive at Goldman Sachs, a firm he criticized on the campaign trail, it's not considered a deal-breaker. Cohn is not an economist, but he has proven adept in his current role and the financial markets have shown confidence in his ability to take the Fed job.
Ironically, Cohn is currently the Trump administration's point person for finding the next Fed chair. But Trump confirmed to The Wall Street Journal in late July that he was considering giving the job to Cohn.
Ironically, Cohn is currently the Trump administration's point person for finding the next Fed chair. But Trump confirmed to The Wall Street Journal in late July that he was considering giving the job to Cohn.
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Kevin Warsh
After Cohn and Yellen, former Fed Gov. Kevin Warsh, now a fellow at Stanford's Hoover Institution, is seen as a strong candidate to become the next Fed chair. In a survey of economists by Bloomberg in late July, Warsh was ranked third most likely to get the job. He is currently an adviser to the administration on economic policy.
Andrew Harrer/Bloomberg
John Taylor
John Taylor, the top economics professor at Stanford University, is already well known in policy circles for the so-called Taylor Rule, an algorithm that he suggested should be used by the Fed in place of discretionary monetary policy. The rule has been popular with conservatives, who argue the Fed has been too subjective in making decisions on interest rates. Taylor is a former Treasury undersecretary for international affairs in the George W. Bush administration and a former member of the Council of Economic Advisers for President George H.W. Bush.
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Jerome Powell
Fed Gov. Jerome Powell, who is currently the de facto head of bank supervision at the central bank, is a dark horse for the job. Powell is a former visiting fellow at the Bipartisan Policy Center and worked for the Treasury Department in the George H.W. Bush administration.
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Glenn Hubbard
Glenn Hubbard, dean of Columbia University's Graduate School of Business, is also reputedly in the running for the job. Hubbard headed George W. Bush's Council of Economic Advisers between 2001 and 2003, when he helped design the Bush tax cuts.
JEFF KOWALSKY
Jim Rohr
Jim Rohr, former chairman and CEO of PNC Financial Services Group, is considered a long-shot candidate for the top Fed job. He left the bank in 2014, becoming chairman of Carnegie Mellon University's board of trustees.
Richard Davis
U.S. Bancorp Executive Chairman Richard Davis stepped down from his role as CEO of the bank in April, and has been touted by Politico and other media outlets as a possible successor to Yellen.
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Jamie Dimon
JPMorgan Chase Chief Executive Jamie Dimon's name is regularly floated for top economic jobs whenever they are vacant, and some see him as a natural fit for a Trump administration given his outspoken style and business acumen. Yet Dimon's name has not been on the shortlist recently for the Fed job, and other candidates are considered more likely to get the nod.
