-10 C°
Traffic jam:   1

Joe Biden appoints Jerome Powell to head Fed for another four years

23 November 2021
2 min.
Joe Biden appoints Jerome Powell to head Fed for another four years

The future of the stock market

President Joe Biden has reappointed current Chairman Jerome Powell to head the Fed for the next 4 years. Experts say that this will generally have a positive effect on the market, although a high degree of uncertainty remains.

On Monday, US President Joe Biden reappointed Jerome Powell to head the Federal Reserve for another four-year term, with Fed Board Governor Lael Brainard as Vice Chair, making her the third woman to hold the No. 2 position at the Fed.

Powell must be approved by a simple majority vote in the Senate to be confirmed as head of the Fed.

Many expected Powell to retain his post as he enjoys bipartisan support from Republicans and moderate Democrats, who praised him for his response to the coronavirus pandemic. Powell's current four-year term expires in February.

In a cut to analysts' views, US stock indices were mostly down on Monday. The S&P 500, Dow Jones and Nasdaq 100 fell 0.43%, 0.46% and 0.53% respectively at non-trading time. Some analysts said that the rise in US inflation in October (the consumer price index jumped to its highest in 30 years) may have been the turning point in Biden's decision. As public concern over inflation is already rising, which is reflected in Biden's rating, replacing Powell with someone considered even more dovish would be more risky.

Given the rapid and sustained rise in inflation, many investors and economists expect Powell to accelerate the pace of the Fed's current $120bn monthly bond purchases. Earlier this month, the Fed announced that it would start cutting bond purchases at the end of November at a rate of $15bn each month. Furthermore, current market forecasts show an expectation of the first rate hike in June 2022, which is at least six months earlier than initially forecast by the Fed.

Accepting his reappointment on Monday, Powell said addressing the "growing risks associated with climate change and cyberattacks" would be one of the key priorities he would seek to address as head of the Fed. Other priorities include modernising the payments system, ensuring the stability of the financial system, removing supply chain bottlenecks, strengthening the labour market and tackling inflation.

Persons3 and Companies3 in the news

Memer of the Federal Reserve Board
6th Chair of the Federal Reserve
46th President of the United States
Dow Jones


Rating companies
119 Mention
98 Mention
92 Mention
85 Mention
Dow Jones
83 Mention
73 Mention
51 Mention


News from GlobalNY.biz is the freshest and most relevant information about high-profile events in the region. The task of the resource's news feed is to convey to readers with maximum accuracy and objectivity information about important events in business, politics, economy, healthcare, culture and other spheres of life in New York.
GlobalNY.biz news is a coverage of economic processes taking place in New York, the latest news of public life, incidents and an overview of political events. New York news is information about the activities of small and medium-sized businesses, the work of housing and communal services and utilities, the implementation of significant projects.
The site's journalists describe not only the life of the region, but also talk about the current state of the US economy. Everything you need to know about innovations in the field of industry and agriculture, economy and power is collected in the "News" section at GlobalNY.biz.
New York news quickly informs the reader, shows the real picture and opens up hot topics. Communication with government structures and business enables us to provide our readers with reliable, information-rich material. The main page of the portal contains the key news of New York!
Alena Potapova

Development Director
Died this year
Born this year