Gary Cohn for Fed Chair?Tags The Fed
Paul-Martin Foss has put together a great overview of possible Fed appointees should Trump replace Yellen upon expiration of her term as Fed Chair. One individual who has come to the surface since Foss' article is former Goldman Sachs CEO and quintessential Wall Street establishmentarian Gary Cohn.
Speculation is building on Wall Street that a likely replacement to run the central bank would be Gary Cohn, director of the National Economic Council and Trump's closest economic advisor.
"The buzz among those who claim Cohn confides in them is that he would like to eventually replace" Yellen, assuming Trump decides to move in a different direction when the chair's term ends in early February, Beacon Policy Advisors said in its daily report for clients Tuesday.
Taken in the context of Yellen's recent determination to raise interest rates and Trump's sudden though unsurprising comments on the "need" for a weaker dollar and low interest rates, this could be Trump's move to avoid a tightening monetary environment. No one wants to be in a position of power when the bubble pops.
At any rate, choosing someone like Cohn to lead the Fed would be a long step along Trump's post-election path of base betrayal. Cohn is the epitome of what is wrong with Wall Street's relationship with Washington — and represents exactly what Main Street and rural America were trying to avoid with a Clinton presidency.