Wall Street ready for Janet Yellen’s return to economic power

Wall Street ready for Janet Yellen’s return to economic power

Despite
some
tough
talk
from
Janet
Yellen
during
her

first
confirmation
hearing

to
take
over
the
Treasury
Department,
Wall
Street
appears
eager
to
have
her
back.

During
more
than
three
hours
of
testimony
on
Tuesday,
Yellen
pressed
the
case
for
the
Biden
administration’s
$1.9
trillion
economic
stimulus
plan,
but
also
defended
the
idea
of
a
corporate
tax
hike
and
made
it
clear
she
would
break
with
the
Trump
administration’s
aim
to
weaken
the
US
dollar.

Such
talk
from
the

next
Treasury
chief

would
usually
spook
the
finance
sector,
but
stock
markets
popped
during
the
hearing
and
stayed
up,
with
investors
calmed
by
the
return
of
a
steady
and
known
quantity.

“Say
what
you
will
about
Janet
Yellen,
but
she’s
Janet
Yellen,”
one
hedge
fund
manager
told
The
Post.
“She’s
going
to
do
what
she
says
she’s
going
to
do
and
she
won’t
surprise
anyone.”

Having
served
as
Bill
Clinton’s
chief
economic
advisor
and
Barack
Obama’s
Federal
Reserve
Chair,
the
74-year-old
Yellen
is
a
respected
and
trusted
policymaker
on
both
sides
of
the
aisle
and
outside
the
Beltway.

“The
market
likes
her
as
she’s
predictable
and
will
work
with
the
Fed
to
keep
the
game
going,”
offered
Thomas
Thornton
of
Hedge
Fund
Telemetry,
referring
to
the
extremely
accommodative
stance
that
her
successor
at
the
Fed,
Jay
Powell,
has
taken
to
markets
throughout
his
tenure
and
ramped
up
during
the
pandemic.

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