President Donald Trump has selected Jerome H. Powell as the next chairman of the Federal Reserve succeeding Janet Yellen, two senior administration officials said Thursday.
After a search that was more public than any before n the Fed's more than a century of history, Trump's choice of the 64-year-old Powell will likely be seen as a safe choice who could represent continuity at the Fed.
Trump had considered re-nominating Yellen, the first woman to lead the central bank, for a second four-term term. Her term will end in February. But in the end, he opted for Powell, a Republican, over Yellen, a Democrat, explaining last week that doing so would allow him to put his own mark on the Fed.
If confirmed by the Senate, Powell would be the first Fed leader in nearly four decades to lack an advanced degree in economics. He has served on the Fed board since 2012 after a career as an investment manager through which he amassed personal wealth in the tens of millions.
Trump had indicated that his final decision had come down to Powell, Yellen and John Taylor, a Stanford University economist. Earlier, the president had also considered Kevin Warsh, a former member of the Fed board, and Gary Cohn, his chief economic adviser.
Powell will likely be welcomed on Wall Street as someone who has supported the cautious stance toward interest rate hikes that Yellen has pursued in her nearly four years as chair and may be inclined to extend that approach if the economy performs as expected.
Trump's decision against nominating Yellen for a second four-year term makes her the first Fed leader since the end of World War II not to be offered a second term after completing a first. It would also break the pattern of the past three Fed chairs, who were first nominated by the president of one party and then re-nominated by the president of the opposing party.
The Associated Press contributed to this report.