Senate confirms Fed chairA strong bipartisan vote of 80-19 on Thursday will challenge a second term, following confirmation from other Fed nominees.
Powell’s confirmation comes as soaring inflation is damaging American bank accounts. President Biden, who said inflation was a major domestic concern earlier this week, pointed to inflation in a statement praising Chairman Powell’s confirmation.
“I’ve made it clear that tackling inflation is my top priority,” Biden said. “So, I am delighted to see the Senate take my agenda to control inflation to the next level by nominating my nominee to the Fed. I thank the Senate for confirming Dr. Jerome Powell, Dr. Lisa Cook and Dr. Philip Jefferson. This week, I joined Dr. Lael Brainard’s recent confirmation: The Fed plays a key role in fighting inflation, and these qualified board members will provide our economy and families with the skills and knowledge they need at this critical time. “I’m asking the Senate to expedite the nomination of Michael Barr for Vice-President of Supervisory because there is still more work to be done to fill the Federal Reserve.”
The Federal Reserve (Fed), which sets US monetary policy, plays a key role in determining interest rates. The Fed is already raising interest rates to keep inflation at an all-time high. Treasury Secretary Janet Yellen, who testified before Congress earlier this week, said she believes the Fed can control inflation without causing a recession.
The Fed chair serves a four-year term, and Powell, nominated by former President Trump in 2017, has been serving a temporary term since his first term expired in late January.
rate of inflation, the first decline after rising for eight consecutive months. The consumer price index rose 8.3% from a year ago, down from an annualized 8.5% in March.