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White House mobilizes ‘war room’ to boost Fed nominees as attacks pile up -Breaking


© Reuters. FILE PHOTO – The Federal Reserve Headquarters in Washington, Sept. 16, 2015. REUTERS/Kevin Lamarque/File Photograph

By Andrea Shalal

WASHINGTON (Reuters] – The White House has circled President Joe Biden’s nominees to three of the top Federal Reserve jobs after an earlier nomination for a U.S. top banking regulator post was destroyed.

Three nominees – Sarah Bloom Raskin (former Fed Governor) and Philip Jefferson (economists at Davidson College, North Carolina), and Lisa Cook (Michigan State University) – will face a confirmation hearing before the Senate Banking Committee on Thursday. But sparks are already flying.

Senate Republicans and other opponents to Raskin’s nominations have sparked a storm of criticism. Due to her climate change views, many have criticized Raskin’s nomination as vice-chair for supervision.

However, unlike the administration’s indifferent response to an identical onslaught against Saule Omarova over her nomination for comptroller of currency – which led to her withdrawal of her name – Biden and his team are now fighting daily to support their nominees to Fed Board of Governors.

According to one Senate official, “They are definitely more engaged in these nominations.” The White House takes this opportunity seriously and sees it as a historic chance to reshape Federal Reserve.

According to a White House official, the online effort includes daily meetings between nearly twelve officials. This was done to respond rapidly to any attacks from Republicans or business interests.

They want to stave off opposition from Democrats. Democrats ultimately helped Omarova get her nomination.

The full list of Biden nominees also includes Jerome Powell, who is running for another term in the chair position and Governor Lael brainard, who will be serving as vice-chair. Three candidates were chosen for their ability to increase diversity at the Fed. They include two Black men and two women. All seven Board members would become women in the event that all of them are confirmed. This includes the first Black female governor.

The White House official stated that “Given this is an important priority, we have created a war room in the White House made up of different departments. It meets daily to share positive news about the nominations and to solicit endorsements in support of each nominee.”

Official said that the effort includes almost daily news releases in which support is highlighted for candidates. It also reflects the important role of the Federal Reserve when determining U.S. economic policy.

There are huge stakes as the Fed raises interest rates to combat an unexpected increase in inflation. In addition, the economy continues to struggle with worker shortages and supply chain congestion.

Marc Morial is the president of National Urban League. He said that the White House campaign to support the Fed nominees was essential. Cook’s opponents have focused on Cook’s Blackness and not given credit to her credentials. Former President Donald Trump’s nominees, however less qualified, were not as scrutinized.

He said, “She’s more qualified than she looks.” “We must not ignore the fact she is Black and has been appointed to the Federal Reserve Board of Governors the first time in more than 100 years. We can expect her to be treated with fairness.”

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