Stanley Fischer steps down from Fed adding another vacancy for Trump to fill

Stanley Fischer steps down from Fed adding another vacancy for Trump to fill

Today, Stanley Fischer, the vice chairman of the US central bank, will officially step down. Mr Fischer announced his departure

Board Of Governors Of The Federal Reserve System Holds Open Meeting

Photo: Andrew Harrer/Bloomberg

Today, Stanley Fischer, the vice chairman of the US central bank, will officially step down. Mr Fischer announced his departure last Friday, citing “personal reasons”.

Fischer’s exit leaves the Fed Board with only four out of its seven seats filled. Appointments for these vacancies must be made soon, giving Donald Trump the opportunity to shape the central bank’s policy for years to come, as governors serve 14 year terms.

Last week, Mr Trump appointed Randal Quarles to craft a more anti-regulatory Board without Yellen at the head. While the president has toyed with the idea of reappointing the Board’s chair, he seems to diverge with Yellen’s support for stricter banking regulations. A shortlist of five candidates has been produced, including the likes of Kevin Walsh, Gary Cohn, and others who similarly oppose banking regulations.

While it is unclear who President Trump will tap to be the next Fed chair, it has been reported that Treasury Secretary Steven Mnuchin is pushing for Jerome Powell, potentially giving the current Fed governor a slight lead.

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