Bush has named a new Fed Chief:
U.S. President George Bush has chosen one of his top economic advisers, Ben Bernanke, to succeed Alan Greenspan as head of the powerful Federal Reserve.
Bush announced the appointment at the White House Monday afternoon, flanked by Bernanke and Greenspan. His appointment must be confirmed by the U.S. Senate, but a smooth confirmation hearing is expected.
Bernanke is currently the chairman of the President’s Council of Economic Advisers and was long considered a favourite to replace Greenspan. He was a member of the Fed’s board of governors from August 2002 until this past June and is widely respected.
Thank God he’s not an old drinking buddy from Texas.
In his remarks at the White House Monday, Bernanke pledged no sudden change in Fed monetary policies.
“If I am confirmed to this position, my first priority will be to maintain continuity with the policies and policy strategies established during the Greenspan years,” he said.
Bush praised Bernanke’s record, saying he “commands deep respect in the global financial community.” U.S. stock markets rallied when reports of Bernanke’s selection began circulating.
Apparently, Bernanke was one of the people to push for more openness around Fed policy and direction. We like that.