To expedite the upcoming FOMC interest rate meeting next week, the Republican Party is accelerating the push for Milan to join the Federal Reserve
The U.S. Senate Banking Committee supports Trump's advisor Stephen Moore to temporarily serve as a Federal Reserve governor, with Republicans accelerating his appointment in an effort to complete it before next week's FOMC meeting. Moore will join the Federal Reserve on an unpaid leave basis, and the FOMC is expected to announce its first interest rate cut since December of last year. Democrats have expressed concerns about this arrangement, arguing that Moore's appointment affects the independence of the Federal Reserve
According to the Zhitong Finance APP, the U.S. Senate Banking Committee voted along party lines on Wednesday to support the nomination of Stephen Moore, a former advisor to Trump, for a short-term position as a Federal Reserve governor. Meanwhile, Republicans are accelerating efforts to have him confirmed before next week's interest rate meeting.
According to informed sources, the vote, which passed with 13 votes in favor and 11 against, means that Moore is expected to receive a confirmation vote from the full Senate on Monday.
The Federal Open Market Committee (FOMC) will hold a meeting from September 16 to 17. Given the slowdown in job growth momentum, the committee is expected to announce its first interest rate cut since December of last year.
Moore, who is currently the chairman of the White House Council of Economic Advisers, told senators that he would join the Federal Reserve on an unpaid leave basis. It is unclear whether Trump will nominate him for a full 14-year term as a Federal Reserve governor after his short-term appointment ends or ask him to return to his original position in the White House.
Democrats find this arrangement absurd and point out that since Trump will decide whether Moore continues to stay on the Federal Reserve Board or returns to the White House with a salary, his so-called "independence" is hard to believe.
Democrat Elizabeth Warren stated, "He knows very well that every vote he casts will determine whether he can return to his job in the White House." She described this relationship as "personal attachment."
Trump's dismissal of Federal Reserve governor Lisa Cook, along with a series of extensive actions he has taken to intervene in the Federal Reserve, has raised concerns about whether the central bank can maintain its independence. Cook has legally challenged her dismissal, and on Tuesday evening, a judge issued a temporary restraining order prohibiting Trump from removing her
