Replace Jerome Powell and to place a greener central banker on the top seat of the Federal Reserve and also tougher with the markets: this is the goal of the American left represented by the deputies Alexandria Ocasio-Cortez, Rashida Tlaib e Ayanna Pressley, who officially asked for Jerome Powell’s head yesterday, intensifying pressure on US President Joe Biden.
Jerome Powell joined the central bank in 2012 when he was chosen by the president Barack Obama for a Fed board seat. Subsequently, he became Fed number one in February 2018 with Donald Trump. His term expires in 2022.
The relationship between Jerome Powell and Donald Trump, some will recall, was initially very tormented, for the constant complaints and the continuous attacks of the American president, who initially accused the banker of being too hawkish.
The Covid-19 pandemic and Fed prompt intervention quelled the controversy, and Powell currently enjoys broad bipartisan support from Republicans and Democrats.
He is certainly not loved by Alexandria Ocasio-Cortez (AOC), who believes that this is the right time, pending the expiry of the mandate, to start thinking about who to replace him with.
Because? It’s all written in black and white in a joint letter signed by other deputies such as Rashida Tlaib, member of the House of Representatives for the state of Michigan and by the African American Ayanna Pressley, deputy for the state of Massachusetts. The letter was published by POLITICO.
The trio Ocasio-Cortez-Tlaib-Pressley he is known for representing the radical left of American politics. Thus we read in the note:
“As news circulates of a possible renaming of Federal Reserve Chairman Jerome Powell, we ask President Biden to envision a Federal Reserve focused on eliminating climatic risks and that it undertakes to promoteeconomic and racial equality. We appeal to the Biden administration to take advantage of this opportunity to appoint a new Fed president ”.
Powell’s work is recognized in the letter. The banker “Introduced positive changes” causing the central bank to give more emphasis on importance to achieve full employment.
However, the three MEPs clearly wrote that they want a more aggressive banker for the Fed presidency market regulation and in addressing climate change.
“Under his (Powell’s) leadership, the Federal Reserve did very little to mitigate the risk that climate change implies for our financial system, ”wrote in the letter Ocasio-Cortez (NY), Tlaib (Mich.) and Pressley (Mass.), who all sit on the Financial Services Commission of the US Chamber.
Democratic deputies Chuy García (D-Ill.), Another member of the commission, and Mondaire Jones (DN.Y.) also signed the letter.
Ocasio Cortez made headlines especially in case -e- chaos GameStop, the meme stock that reported stratospheric gains at the beginning of the year and not backed by fundamental reasons. Alexandria Ocasio- Cortez tried to understand in particular the role of Robinhood that, as other brokers have done, when the GameStop case began to explode, it began to impose limitations on trading operations of the GameStop title, as well as on the trading of other titles that have entered the favor of Redditors, such as AMC Entertainment , Koss, BlackBerry, Bed Bath & Beyond, Naked Brand Group and Nokia (all stocks shorted by the funds).