Powell and Brainard Both Have Votes to Be Fed Chair, Sherrod Brown Says
Powell, Brainard Have Support for Fed Chair, Key Senator Says
(Bloomberg) -- Senate Banking Committee Chairman Sherrod Brown said Tuesday he has no doubt the Senate would confirm either Federal Reserve Chair Jerome Powell to a second term or his possible successor, Fed Governor Lael Brainard.
“I am certain we would confirm either of them,” the Ohio Democrat said, adding that either could rely on broad Democratic support and might draw some GOP backing. “I am absolutely certain.”
President Joe Biden’s decision on a Fed chair nominee could come as early as this week, Brown said. The White House is seeking input from senators to ensure either Powell or Brainard would get the votes needed for confirmation, a person familiar with the process said.
Brown said he has a personal preference between the two Fed officials and has shared it with the White House, but he declined to disclose who it is.
“They’re both clearly qualified,” Brown added. “I think it’s likely between those two. But I don’t have a read on what they’re going to do. They have really put a lot of thought into this.”
The White House declined to comment.
Senator Lisa Murkowski, an Alaska Republican, said she had spoken to Biden about his Fed choice while she was at the White House on Monday.
“I had a little bit of a conversation yesterday,” she said. “I talked with him,” but declined to detail the talk.
Biden’s choice has been expected before Thanksgiving on Nov. 25, giving the Senate time to confirm the nominee before Powell’s term ends in February. Biden interviewed both Powell and Brainard for the top job earlier this month.
Biden may move to fill more than one of the Fed’s vacancies at the same time, Brown and others have said. One Fed seat has been open since the Trump administration, while the vice chair for supervision opened when Randal Quarles’ term expired last month. Vice Chair Richard Clarida’s term is up in January.
Brown said his committee could hold a confirmation hearing as early as December on the Fed chair nomination if Biden names his pick soon, although he added the panel may take more time.
“I don’t think it’s essential to do because the term’s not up until February,” he said. “We’re not going to rush it. We want to make sure that everybody has a chance to speak. The hearings will be obviously very important, particularly discussions of climate and regulation.”
Ohio Republican Senator Rob Portman, meanwhile, one of just four sitting Republicans to confirm Brainard for her current post, said in a hallway interview Tuesday that he urged Biden directly to choose Powell over Brainard.
“I think she’s more dovish than him, and I think for those of us concerned about the balance sheet of the Fed and inflation, he’s a better pick,” Portman said, though he declined to say when the conversation took place.
Powell has on-the-record backing from a number of Democratic and Republican senators, including a majority of Republicans on the Banking Committee and key moderate Democrat Jon Tester of Montana.
Tester, who has previously advocated publicly for Powell and to White House Chief of Staff Ron Klain, wouldn’t say if he would vote for Brainard when asked by a reporter.
“I’ll tell you who I would vote for and that’s Powell,” Tester said.
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