MNI BRIEF: Miran To Pledge Fed Independence In Senate Hearing

Donald Trump’s pick to join the Federal Reserve’s board of governors, Stephen Miran, has vowed to “preserve independence” of the central bank if he is confirmed in the position by the US Senate. Miran is set to appear before the Senate Banking, Housing, and Urban Affairs Committee in his confrmation process tomorrow morning. 

Miran, who serves as chair of the White House Council of Economic Advisers, will tell members of the Senate Banking Committee in his opening statement that Congress wisely tasked the Fed with pursuing price stability, maximum employment, and moderate long-term interest rates. "If confirmed, I will transparently and honestly work toward that pursuit, with the goal of preserving a stable and healthy economy that benefits all Americans." (See: MNI INTERVIEW: US Growth, Jobs Poised For Rebound - Miran) 

"In my view, the most important job of the central bank is to prevent Depressions and hyperinflations. Independence of monetary policy is a critical element for its success," he said in his prepared remarks. "My opinions and decisions will be based on my analysis of the macroeconomy and what's best for its long-term stewardship. The Federal Open Market Committee is an independent group with a monumental task, and I intend to preserve that independence and serve the American people to the best of my ability." 

Miran further added that the ultimate composition of the Fed's balance sheet is an "open-ended question."