The White House decided to warn markets in advance about the fate of the current Fed’s Chair, Jerome Powell. The fact is that his four-year term is set to expire on February 22, 2022. Not so long ago, President Joe Biden announced that he nominated Jerome Powell for a second term.

The US president personally announced his decision. Notably, Jerome Powell won the chair of the Federal Reserve under the presidency of Donald Trump. However, Biden takes into account the results of the Fed’s policy, thus ignoring his attitude to Trump and his team. Under the management of Jerome Powell, the Fed withstood several serious blows, including the aggressive foreign policy conducted by the previous president and the coronavirus outbreak. According to the White House statement, in the last 10 months, the US economy added 5.6 million jobs, whereas the unemployment rate declined to 4.6%. “That success is a testament to the economic agenda I’ve pursued and to the decisive action that the Federal Reserve has taken under Chair Powell,” President Biden said.

Lael Brainard, one of the US leading macroeconomists, was Powell’s main rival. Joe Biden nominated Dr. Lael Brainard to serve as Vice Chair of the Board of Governors of the Federal Reserve System. He explained that “Powell and Brainard share the Administration’s focus on ensuring that economic growth broadly benefits all workers.” “I’m confident that Chair Powell and Dr. Brainard’s focus on keeping inflation low, prices stable, and delivering full employment will make our economy stronger than ever before,” Biden pinpointed.