President Joe BidenMeeting with the Chairman of the Federal Reserve Jerome PowellGovernor Lael BrainardA person who is familiar with this matter said that the administration would decide on Thursday which candidate will lead the central banking institution for the next four year.

Brainard and Powell have been deemed the best candidates for the top job at the global central bank. This institution sets the interest rate and monitors inflation.

CNBC reported that the President hasn’t made any final decisions on the Fed leader. Wall Street and Washington expect to hear a decision in the next few days.

Both candidates would be confirmed by the Democrat-controlled Senate. Both the Republican Powell and the Democrat Brainard could be challenged by progressives.

A few moderate Democrats would expect Powell to be supported by almost all Senate Republicans as an endorsement of the Fed’s steady hand.

In order to counter the rise in unemployment and recession caused in part by Covid-19 in the U.S., the central bank sent cash into the country in spring 2020. Wall Street credited the large-ticket monetary policy with stabilizing the financial markets and maintaining low interest rates.

Brainard, if not appointed as chairperson of the board, is considered to be the best candidate for the vacant vice chair position for supervision. Brainard, in that position, would be a top bank regulator and key deputy for the chair.

Some progressive Democrats back her candidacy. They argue that Powell has not pushed the Fed enough to address issues such as income inequality or the effects of climate change on the economy.

Senator Elizabeth Warren, a progressive from Massachusetts, stated in September that it would be a mistake to remove Powell as the chair. Her comments included that Powell’s recent repeal of banking regulations made him a dangerous man.

— Kayla Tausche of CNBC contributed reporting.