Senate Confirms Trump Pick to Fed Board Ahead of Key Interest Rate Vote
The US Senate confirmed President Donald Trump's pick, Stephen Miran, to join the Federal Reserve's board of governors on Monday, with a vote of 48-47. This move has raised concerns over the central bank's independence and follows Trump's bid to reshape the Federal Reserve.
As part of his role as chair of the Council of Economic Advisers, Miran will be the first sitting White House official to join the Fed's board since its creation in its current form in the 1930s. His confirmation comes ahead of a key interest rate vote this week, where he is expected to play a central role.
"This appointment is a clear attempt by President Trump to exert more control over the Federal Reserve," said Senator Elizabeth Warren (D-MA), who voted against Miran's confirmation. "The Fed must remain independent and free from political interference."
However, supporters of Miran argue that his expertise as an economist will be beneficial to the Fed.
"Stephen Miran has a proven track record of sound economic judgment and a deep understanding of monetary policy," said Senator Ted Cruz (R-TX), who voted in favor of Miran's confirmation. "He will bring a much-needed perspective to the Fed."
Miran's fast-tracked confirmation vote comes as Trump is also attempting to fire Fed Governor Lisa Cook from the central bank, citing allegations of mortgage fraud. Cook, the first Black woman to serve as a Fed governor, has denied the allegations and sued to block her removal.
The Federal Reserve's independence has been a long-standing concern for many economists and lawmakers. The central bank is responsible for setting interest rates, which have a significant impact on the economy.
"This appointment raises questions about the Fed's ability to make decisions based on sound economic principles rather than political considerations," said Mark Zandi, chief economist at Moody's Analytics.
The confirmation of Miran has sparked debate among economists and lawmakers about the potential implications for monetary policy. As one of 12 voting members, he will play a crucial role in shaping the Fed's decisions.
In a statement, the White House praised Miran's appointment, saying it "will bring a much-needed dose of common sense to the Federal Reserve."
The confirmation of Miran is seen as a significant development ahead of the key interest rate vote this week. As one of 12 voting members, he will play a central role in shaping the Fed's decisions.
With his confirmation, Miran becomes the first sitting White House official to join the Fed's board in decades. His appointment has raised concerns over the Fed's independence and follows Trump's bid to reshape the Federal Reserve.
The Senate's confirmation of Miran is seen as a significant development ahead of the key interest rate vote this week. As one of 12 voting members, he will play a crucial role in shaping the Fed's decisions.
In related news, the White House has announced that it will appeal Cook's lawsuit to block her removal from the central bank. The outcome of this case is expected to have significant implications for the Federal Reserve and its independence.
*Reporting by Bbc.*
