Odds Of A Second Term For Powell Take Another Hit, Still The Favourite

The betting market odds re: current Fed Chair Powell being offered the opportunity to serve a second term took another hit on Tuesday, narrowing as the odds surrounding President Biden picking current Fed Governor Lael Brainard received another boost.

• To recap, Tuesday saw Biden tell reporters that he would make an announcement on the matter in the next four days. A BBG source later suggested that the announcement may slip into next week, while pointing to a 2-horse race between Powell & Brainard (in line with broader expectations). The BBG source noted that "Biden considers them both strong options and respects them both." The continued neck-and-neck race (at least in press portrayals) is continuing to erode Powell's early frontrunner status.
• Senate Banking Committee Chairman Sherrod Brown flagged a sense of certainty when it came to the chances of confirmation of either of the leading candidates.
• Democratic Senator Joe Manchin has noted that he will speak with Powell in the next few days.

Fig. 1: Odds re: Whom Will The Senate Next Confirm As Chair Of The Federal Reserve?

Source: PredictIt