Federal Reserve nominee says he’ll continue policies if confirmed

Jerome Powell, nominated by President Donald Trump to lead the Federal Reserve, presented himself as a pragmatic mod- erate who would largely continue the Fed’s current policies at a confirmation hear- ing before the Senate Bank- ing Committee on Tuesday.

Powell, a Fed governor since 2012, defended the Fed’s approach to financial regulation. He told Demo- crats that he saw no need for stronger rules, and he told Republicans he did not favor rolling back most existing ones, though he did endorse easing the burden on smaller banks.

Powell also pledged to continue the Fed’s current approach to monetary policy, by gradually raising inter- est rates so long as economic growth remains healthy.

He stopped just short of confirming that the Fed intends to raise its bench mark interest rate in Decem- ber, a move that is widely expected by financial investors.

“I think that the case for raising interest rates at our next meeting is coming together,” he said.

Powell, 64, is a lawyer by training and an investment banker by trade, with deep roots in the financial industry and the Republican Party. Since joining the Fed, he has voted in favor of every policy decision — both monetary policy and regulatory policy — under the current Fed chairwoman, Janet Yellen, and her predecessor, Ben Bernanke.

Trump nominated Powell in early November to succeed Yellen, whose four-year term as Fed chairwoman ends in early February. The position is subject to Senate confirmation.

“Gov. Powell has proved he is qualified to lead the Fed,” Sen. Mike Crapo, R-Idaho, who chairs the committee, declared Tuesday.