Senate Republican: Powell should leave Fed, 'cash in'

Sen. Kevin Cramer (R-N.D.) on Tuesday said he hopes that Federal Reserve Chair Jerome Powell will depart the central bank at the conclusion of his term next month. Powell’s term as chair is set to end on May 15, but he has previously said he would continue as a board member until the resolution of a criminal probe related to recent renovations at the Fed. Jeanine Pirro, the U.S. attorney for the District of Columbia, dropped her probe into Powell’s handling of spending on Fed renovations on Friday. “I hope not, quite honestly,” Cramer said on CNBC’s “Squawk Box,” when host Joe Kernen asked whether Powell ought to stay on after his term as chair expires. Powell’s term on the board ends in January 2028. Fed chairs typically don’t stay on the board once their tenure as chair ends. Cramer, a member of the Senate Banking Committee, noted that precedent, saying that now would be a “good time for [Powell] to cash in, if you will, on his experience and his Rolodex and his notoriety” in the private sector. The North Dakota Republican added, “He’s certainly earned that opportunity.” A vacancy on the Fed’s board would give President Trump an opportunity to nominate a candidate who agrees with the president’s desire for more interest rate cuts. Since returning to office last year, Trump has frequently urged Powell to implement rate cuts. …