What Trump’s Win Means For The Fed
During his campaign, Donald Trump has been of two minds on the Fed and interest rates—at times he’s been in favor of low rates while during others he’s accused the Fed of keeping rates low for political purposes.
That makes it hard to know what his election means for the Fed’s efforts to spur economic growth by raising interest rates, which most folks expected would go up in December before Trump's win, the Wall Street Journal reports.
Trump also has the chance to completely reshape the Fed’s Board of Governors over the next year and a half, when as many as five of the seven seats could be vacant.
At the same time, some experts expect Trump to work with the Republican-controlled Congress to rewrite the laws governing the Fed’s structure, especially given criticisms that the Fed isn’t transparent enough. With all the uncertainty surrounding Trump’s position on the Fed, only one thing is certain—change is coming. [WSJ]