President Trump has taken advantage of Michelle W. Bowman, a governor of the Federal Reserve, to be the next supervision vice president in the Central Bank, according to a White House official who was not authorized to speak publicly.
The position was unemployed at the end of last month by another governor of the Fed, Michael S. Barr, who resigned from the role to avoid a prolonged legal fight in case the president followed the threats to fire him.
Mrs. Bowman, whom Trump appointed the Board of Governors of the Seven Advice of the Fed during her first mandate, was seen for a long time as the main contender for the position. Because Barr remained as governor, his term expires in 2032, Mr. Trump’s team for vice president was limited to policy formulators currently at the Board.
If the Senate Banking Committee confirms it, it is likely that Mrs. Bowman introduces a more approach for the financial regulation than her predecessor, who was appointed during the Biden administration.
In recent years, Mrs. Bowman, a former commissioner of the Kansas State Bank, has positioned himself as a prominent voice in the Central Bank that asks for a less onerous supervision of Wall Street.
She voted against Mr. Baro to raise capital requirements for lenders such as JPMorgan Chase and Goldman Sachs, a plan that the largest banks and lobbyists in the industry opposed fiercely. He has also aligned with his calls to do the stress tests that the Fed imposes on lenders to evaluate their ability to resist much more transparent crises. The Central Bank is working to meet these demands after the US bank lobbying groups sued it.
Mrs. Bowman, who worked in community banks and as an advisor to the Department of National Security during the George W. Bush administration, has also become more vocal in monetary policy matters.
In September, she was the only dissident when the Central Bank decided an interest rate of a half -point interest than usual; He feared that such a large movement seems like a “premature statement of victory” about inflation. It was the first time since 2005 that a governor had voted against a rate decision.
Since then, Mrs. Bowman has attached to her position that the Fed must be cautious about additional interest rate cuts until it is safer that inflation returns to its 2 percent target. In comments last month, he warned that there were “greater risks to the stability of prices, especially while the labor market is still strong,” suggests that it will not support a short -term rate cut.
Unless a governor renounces, Trump will not have the opportunity to shape the best ranges of the Fed until the beginning of next year, when the term of Adriana D. Kugler expires. In May of next year, the term of Jerome H. Powell as president will also end, but can remain a governor in 2028.
