Yellen yet to ‘decide whether to stay at Fed’

Treasury Secretary Steven Mnuchin said Wednesday that Janet Yellen has not said yet whether she plans to remain on the Federal Reserve board when her term as chair ends in February, but the administration is moving ahead with filling other vacancies.

There are currently three vacancies on the seven-member Fed board and there could be a fourth if Yellen decides to leave. Her term as a board member does not end until 2024.

In an interview on Bloomberg TV, Mnuchin said he had breakfast with Yellen on Wednesday from which he came away with the impression that she had not made a decision on her future at the Fed.

Last week, President Donald Trump announced he would nominate Fed board member Jerome Powell as the next Fed chairman, bypassing Yellen.

If Yellen did stay on the board, she would be only the second former chair to do so. Marriner Eccles, whose name is on the Fed’s headquarters in Washington, remained on the board for three years after he was not nominated for another term as chair by Harry Truman in 1948.

Mnuchin said the goal was to fill the vacancies quickly but the administration did not necessarily see a need to pick someone with a PhD in economics for the vice chair position even though Powell will be the first person to lead the Fed without a degree in economics in nearly four decades. (AP)