“But what does matter to financial markets is the decision on who will be the next Federal Reserve chair, as Jerome Powell’s term ends next year. Leave it to Tim Duy, the provocative University of Oregon professor and chief U.S. economist at SGH Macro Advisors, to make the connection.”
USAGOLD note: There is some merit to Duy’s argument. He believes that Powell is the steady choice during a time of turmoil caused by events in Afghanistan. According to Bloomberg, Biden will make his choice around Labor Day, even though Powell’s current term doesn’t end until February. If there is going to be a challenge to Powell, it will likely come in the form of strong support for current Board member, Lael Brainard, pictured above with Powell during a Fed Board of Governors meeting.