Experts React To Fed Chair Powell's Renomination: 'Sound, Tested, Respected And Familiar'

Experts React To Fed Chair Powell's Renomination: 'Sound, Tested, Respected And Familiar'

President Joe Biden announced Monday he will be renominating Federal Reserve Chairman Jerome Powell for a second term as Fed chair and will nominate Fed Governor Lael Brainard as vice chairman.

Biden was widely expected to nominate either Powell or Brainard for the position of Fed chair. Powell was initially nominated by former President Donald Trump in 2017, but Trump was highly critical of Powell during his first term in the position.

Powell served during the COVID-19 market crash in March 2020 and orchestrated the emergency interest rate cuts and implementation of $120 billion in monthly asset purchases to support the economy and provide liquidity to the financial markets during the subsequent economic shutdowns.

Related Link: Stocks Rise After Biden Nominates Powell For 2nd Term As Fed Chair

Powell’s critics have said the Fed has missed the mark with its expectations that the inflationary fallout from the Fed’s stimulus measures would be “transitory.” In November, the Labor Department reported a 6.2% increase in the consumer price index in the month of October, the fastest inflation growth since late 1990.

However, the decision to stay the course with Powell was initially received positively by the market, as both Powell and Brainard are generally seen as relatively dovish policymakers.

Staying The Course: George Ball, chairman of Sanders Morris Harris, said Powell is “sound, tested, respected and familiar” for the market.

“While Powell's continuance as Fed Chair will not spark a major fresh move upward in stocks, replacing him could have triggered major downward pressure on stocks, as investors dislike uncertainty and the unknown,” Ball said.

Ryan Detrick, Chief Market Strategist for LPL Financial, said a second term for Powell should remove one source of worry for investors.

“Although this decision likely wasn’t an easy one for the President, this should be greeted positively from markets,” Detrick said.

Greg McBride, Chief Financial Analyst for Bankrate, said it’s tough to change jockey’s in the middle of a race.

“With the Federal Reserve at an inflection point of starting to dial back stimulus, continuity at Fed Chair is key,” McBride said.

Brainard’s Impact: Joseph Brusuelas, chief economist for RSM US LLP, said Brainard will serve an important role in implementing a central bank digital currency.

“She is clearly a bit more dovish on policy that Powell, who is a dove himself, and favors tougher regulation on the financial system which reflects the preferences of the Biden administration,” Brusuelas said.

Jeff Klingelhofer, co-head of investments at Thornburg Investment Management, said Democrats should be pleased with Brainard as vice chair.

“With elevating inflation concerns on just about everyone’s mind, Brainard would have been more difficult for the market to digest as chair,” Klingelhofer said.

Challenges Ahead: Chris Zaccarelli, Chief Investment Officer for Independent Advisor Alliance, said continuity is critical for the markets and the economy at this time.

“The economy is experiencing an increase in inflation and the Fed has already taken steps to reduce their extraordinary stimulus measures (tapering), but they will need to move more quickly in addressing the inflation threats so that they don’t become entrenched,” Zaccarelli said.

Robert Schein, chief investment officer, Blanke Schein Wealth Management, said the U.S. economy is strong and doesn’t need near-zero interest rates and significant quantitative easing measures.

“While investors no longer have to wonder about who will be leading the Federal Reserve for the next few years, the next big dilemma the central bank faces is how to normalize monetary policy without upsetting markets,” Schein said.

Posted In: BankrateBlanke Schein Wealth ManagementChris ZaccarellimGeorge BallGreg McBrideIndependent Advisor AllianceJeff KlingelhoferJoseph BrusuelasLPL FinancialRobert ScheinRSM US LLPRyan DetrickSanders Morris HarrisThornburg Investment ManagementAnalyst ColorFuturesPoliticsTop StoriesFederal ReserveMarketsAnalyst RatingsGeneral

11 Best Black Friday Deals on Amazon

11 Best Black Friday Deals on Amazon

The best Black Friday deals from Amazon are still coming hard and fast because the holiday is not yet upon us and the mega-retailer prefers to keep consumers on the hook for as long as possible—spending as much money as possible. 

To that end, here are some of the best Black Friday deals from Amazon that you might want to consider today.

Calphalon 10-Piece Pots and Pans Set

Regular Price: $172

Sale Price: $138.88

Calphalon’s 10-Piece Pots and Pans Set is designed with stainless steel, stay-cool handles along with pour spouts. The nonstick surface is PFOA-free and built with hard-anodized aluminum that is both durable and conducts heat extremely well. The set includes 2 fry pans, a sauce pan with cover, saute pan with cover and large stock pot with cover.

Apple AirPods 2nd Generation

Regular Price: $144

Sale Price: $85.49

The 2nd Generation AirPods from Apple connect to all Apple devices and give you an enhanced listening experience. Plus, they come with a case that keeps them safe and allows you to charge them in a secure environment. With over 24 hours of battery life, access to Siri and easy setup, you can start listening to your favorite tunes or podcasts today.

Adidas Ultraboost 21 Running Shoes

Regular Price: $129.98

Sale Price: $89.98

The Adidas Women’s Ultraboost 21 running shoe is perfect for anyone who likes a short run, maybe a 5K, half marathon or more. Coming in several colors and styles, you can slip these shoes on, enjoy the cushioned outsole, sink into the supple insole and secure laces.

Ninja AF101 Air Fryer

Regular Price: $129.99

Sale Price: $97.83

The Ninja AF101 Air Fryer allows you to crisp, roast, reheat and even dehydrate food products faster and cheaper than ever before. It has a 4-quart capacity and offers a wide temperature range along with several time settings so that you can customize each dish to your needs. Plus, all the parts are dishwasher safe.

Beats Solo3 Wireless On-Ear Headphones

Regular Price: $199.95

Sale Price: $99

Beats by Dr. Dre are among the best headphones on the market, and the Solo3 Wireless On-Ear Headphones include the Apple W1 chip, Class 1 Bluetooth and 40 hours of battery time. These headphones even have a built-in microphone and offer an adjustable fit so that you can be comfortable whether you’re listening to an Android or iOS device.

Hoover Power Scrub Deluxe Carpet Cleaner

Regular Price: $198.98

Sale Price: $175.98

The Hoover Power Scrub Deluxe Carpet Cleaner allows you to keep your home spotless and clean up after your pets. The cleaner comes with the Hoover Paws and Claws Deep shampoo and a storage mat to keep the floor dry once it’s put away.

LG CordZero Auto Empty Cordless Stick Vacuum

Regular Price: $999.00

Sale Price: $851.71

The LG CordZero Auto Empty Cordless Stick Vacuum and Wet Mop All in One Tower is designed to work in homes with several pets or children and clean up all the messes that life brings. The battery lasts up to 2 hours, and there’s an extra removable battery that gives you even more cleaning time and power.

Breville Fresh and Furious Blender

Regular Price: $278.60

Sale Price: $199.95

Breville, a top name in blenders and juicers, offers the Fresh and Furious Blender, featuring 50-ounce capacity, Vac Q technology, pre-programmed cycles, LCD display and lid with pull ring. With the Fresh and Furious Blender, you can make everything from a smoothie to a soup and everything in between.

Hot Tools Professional 2000 Turbo Ionic Hair Dryer

Regular Price: $89.99

Sale Price: $55.63

The Hot Tools Professional 2000 Turbo Ionic Hair Dryer is designed for professional use, but it works perfectly in the home. With 1875 watts of power, 6 heat and speed settings and a lightweight design, you can easily style your hair and utilize the diffuser, cut back on the frizz and stretch the 8 ft cord for maximum functionality.

Columbia Heavenly Long Hooded Jacket

Regular Price: $160

Sale Price: $97.38

The Heavenly Long Hooded Jacket from Columbia is designed to be light for everyday use, but it’s heavy enough to protect you from the cold. The plush fleece lining, security pocket, water resistant fabric, 2-way zipper, and zippered hand pockets make the jacket both protective and functional.

ConAir InfinitiPro Hair Dryer

Regular Price: $49.99

Sale Price: $29.99

ConAir is one of the biggest names in hair and beauty, and the InfinitPro is an 1875 watt hair dryer designed for professionals with ceramic technology. The dryer comes with a diffuser and concentrator, and it allows you to blow out your hair just the way they would at the salon.

Deals the Experts Are Hoping For

Experts believe that Amazon’s Black Friday sale could linger for quite some time. It all started with the Prime Early Access sale on October 11 and 12. Previously, Amazon has offered the “Epic Deals” sale that ran through late October. 

This is to say that any sale could come up at any time. 

Even so, those monitoring Amazon are looking forward to a few potential deals, including:

  • Apple Watch
  • AirPods (any generation)
  • MacBook Pro
  • Large, underpriced TVs
  • Amazon Echo
  • More small home appliances (Dyson or Shark vacuums, Instant Pots, etc.) 

While these predictions are based on last year’s Amazon Black Friday Sale, it’s important to remember that most Black Friday sales are fairly consistent and push the products that are most likely to sell.

 

Featured image sourced from Shutterstock

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