President Trump has taught Michelle W. Bowman, a Governor of the Federal Reserve, as the next vice chairman for supervision at the Central Bank, according to an official of the White House who was not authorized to speak publicly.
The position was abandoned at the end of last month by another Fed Governor, Michael S. Barr, who resigned from the role of preventing a long -term legal fight in the event that the president followed the threats to dismiss him.
Mrs Bowman, who appointed Mr. Trump during his first term at the seven -sided board of directors of the FED, has long been seen as the best contender for the position. Because Mr Barr remained as governor – his term of office lasts in 2032 – Mr Trump's selection for vice chairman was limited to the policymakers currently on the board.
If confirmed by the Senate Banking Committee, Mrs. Bowman will probably herald a more hands-off approach to financial regulations than that of its predecessor, which was appointed during the Biden administration.
In recent years, Mrs. Bowman, a former commissioner of the State Bank of Kansas, has positioned himself as a prominent voice at the Central Bank that calls for less heavy supervision of Wall Street.
She voted against Mr Barr's proposal to increase the capital requirements for money lenders such as JPMorgan Chase and Goldman Sachs – a plan that the largest banks and lobbyists in the industry were furious. She also matches their calls to do the stress tests that the FED imposes on lenders to evaluate their ability to withstand crises. The Central Bank works to meet those requirements after the Lobby groups of US Banking have sued it.
Mrs Bowman, who worked in Community Banking and as a consultant at the Department of Homeland Security during the George W. Bush administration, has also become more vocal about monetary policy issues.
In September she was the only more decisive when the central bank decided a larger than usual reduction of the half -point interest rate; She feared that such a big step would look like a “premature explanation of the victory” on inflation. It was the first time since 2005 that a governor had voted against a rate decision.
Since then, Mrs Bowman has kept her position that the FED should be careful with extra interest rate letings until it is more secure that inflation goes back to his goal of 2 percent. In comments last month, she warned that there were “larger risks for price stability, especially while the labor market remains strong”, suggesting that she will not quickly support a rate reduction.
Unless a governor comes down, Mr Trump will only get the most important ranks of the FED early next year, when the period of Adriana D. Kugler ends. In May next year the term of office of Jerome H. Powell will also end, but he can remain a governor in 2028.
