US: Fed's extreme makeover - Rabobank

President Trump could have a major impact on the Fed’s course in coming years as he is nominating a new Fed Chair, Vice Chair, and most of the Board of Governors, according to Philip Marey, Senior US Strategist at Rabobank. 

Key Quotes

“This amount of Fed appointments by a single President is extraordinary and not by design. However, the high turnover in the Board of Governors has made it possible.”

“This allows President Trump to align the Fed’s policies with his own economic agenda. After the extreme makeover, we are likely to see the Fed support Trump’s efforts at deregulation. What’s more, Trump can choose whether he wants monetary policy to be hawkish or dovish in the coming years.”