“The White House is interviewing candidates to potentially replace Herman Cain and Stephen Moore as Donald Trump’s picks for the Federal Reserve Board,” Bloomberg reports.
Wall Street Journal: “Mr. Trump has selected candidates like Messrs. Moore and Cain in recent weeks because he believes they have the interests of his presidency in mind, the person said.”
“Describing Mr. Trump’s views, the person said, ‘I want people who care about me and my presidency and economic growth…because that’s important to the health of the country and his re-election chances.’”
“Capitalism is a lot more important than democracy. I’m not even a big believer in democracy.”
— Federal Reserve Board nominee Stephen Moore, quoted by CNN.
“I don’t really think I’ve said anything much about the gold – I’m not in favor of a gold standard.”
— Federal Reserve Board nominee Stephen Moore, interviewed on CNN, just before being shown three clips of him saying he supports a gold standard.
Herman Cain is expected to withdraw his name from consideration for the Federal Reserve’s Board of Governors, amid growing pressure from Republican senators on the White House to remove him from consideration, ABC News reports.
Sen. Kevin Cramer (R-ND), a close Trump ally, told reporters that “if I had to vote right now, there’s no way I could vote for” Herman Cain for the Federal Reserve Board, The Hill reports.
“Cramer’s opposition makes him the fourth Republican to denounce Cain’s potential nomination, effectively ending Cain’s chance at confirmation. Sens. Lisa Murkowski (R-AK), Cory Gardner (R-CO) and Mitt Romney (R-UT) all came out against Cain on Wednesday.”
During Tuesday afternoon’s Senate Republican lunch, Majority Leader Mitch McConnell (R-KY) advised senators concerned about Trump’s selection of Herman Cain and Stephen Moore for seats on the Federal Reserve Board to share their views with the White House now, before Trump officially moves forward with the nominations, CNN reports.
Jonathan Chait: “A little over two and a half years ago, Stephen Moore appeared at a conservative panel on the election and the economy, where one questioner asked about monetary policy. ‘Well, you know, I’m not an expert on monetary policy,’ admitted Moore, before proceeding to deliver an answer bearing out this very confession.”
“Moore could casually admit his non-expertise in the subject because, at that moment, it was impossible for anybody in the room, least of all Moore, to imagine that one day he might be nominated for a position on the Federal Reserve Board… Yet here we are.”
“Herman Cain is in deep trouble. And he hasn’t even been formally nominated to the Federal Reserve yet,” Politico reports.
“Senate Republicans are warning the White House that the 2012 presidential candidate will face one of the most difficult confirmation fights of Donald Trump’s presidency and are making a behind-the-scenes play to get the president to back off.”
A new CNBC Fed Survey — which includes Wall Street fund managers, economists and strategists — finds that 60% said the U.S. Senate should not confirm Stephen Moore to a seat on the Federal Reserve Board, while 53% called for the Senate to reject the prospective nomination of Herman Cain.
Washington Post: “Actions by federal regulators and Republicans in Congress over the past two years have paved the way for banks and other financial companies to issue more than $1 trillion in risky corporate loans, sparking fears that Washington and Wall Street are repeating the mistakes made before the financial crisis. The moves undercut policies put in place by banking regulators six years ago that aimed to prevent high-risk lending from once again damaging the economy.”
“Now, regulators and even White House officials are struggling to comprehend the scope and potential dangers of the massive pool of credits, known as leveraged loans, they helped create.”
Herman Cain said he will face a “cumbersome” process as he is vetted for a seat on the Federal Reserve Board, Reuters reports.
Said Cain: “Whether or not I make it through this process – Time will tell. Would I be disappointed if I don’t make it through this process? No. Would I be thrilled and honored if I make it through this process? Yes. That’s the bottom line.”
Senate Banking Committee Chairman Richard Shelby (R-AL) was interviewed by the Wall Street Journal:
WSJ: What would you think of Herman Cain on the Fed?
SHELBY: It’d be interesting.
WSJ: In what way?
SHELBY: Probably in all ways.
“I doubt that will be a nomination. But if it were a nomination, you can bet what the interest rates he would be pushing for. If Herman Cain were on the Fed, you’d know the interest rate would soon be 9-9-9.”
“President Trump has told confidants he wants Herman Cain on the Federal Reserve board, but will wait until his background check is completed before making the formal announcement,” Axios reports.
“The administration did not conduct a thorough vetting of Trump’s most recent Fed pick, Stephen Moore, and they’ve had to weather stories about back taxes owed by Moore and that he had failed to pay alimony to his ex-wife.”
“Stephen Moore, President Trump’s presumptive nominee for a seat on the Federal Reserve board, said on Tuesday that he had no plans to withdraw from contention for the job despite ethical and financial problems that have surfaced in recent days,” the New York Times reports.
Said Moore: “It’s full speed ahead.”
Stephen Moore, the economics commentator chosen by President Trump for a seat on the Federal Reserve board, was found in contempt of court after failing to pay his ex-wife more than $300,000 in alimony, child support and other debts, the Guardian reports.
“In a divorce filing in August 2010, Moore was accused of inflicting ’emotional and psychological abuse’ on his ex-wife during their 20-year marriage. Allison Moore said in the filing she had been forced to flee their home to protect herself. She was granted a divorce in May 2011.”
Stephen Moore, the conservative economics commentator chosen by President Trump for a seat on the Federal Reserve board, is being pursued by the federal government for $75,000 in taxes that it alleges he owes, The Guardian reports.
Moore said he disputed the IRS claim and was “eager to reach an agreement” with authorities but had been frustrated by bureaucracy at the agency.