Senate hosts hearing today with Trump candidate Stephen Milan

The Senate Banking Committee will hold a public hearing at 10am today with Stephen Milan being appointed to the Federal Presidential Committee. Milan, who now leads the Council of Economic Advisors, was proposed by President Trump to fill the vacancy left by Adriana Coogler.

The hearing comes amid the central bank’s push for close White House influence.

Today’s hearing will be sensitive to tensions between the Fed’s tradition of independence and President Trump’s push to assert the authority of the larger White House.

Even if the senator has vowed to protect central bank autonomy, it is expected to push Milan on his previous debate in favor of more executive influence.

“The most important task of a central bank is to prevent oppression and swelling. The independence of monetary policy is a key element of its success,” Milan said in his prepared testimony. “If confirmed, I plan to faithfully perform my role in accordance with the obligations assigned by the Congress.”

Milan also argued that it would maintain central bank independence and make rigorous decisions on macroeconomic analysis rather than political direction.

“The Federal Open Market Committee is an independent group with monumental work and I intend to maintain that independence and to bring the people of America to the fullest extent of my abilities,” he said.

At the federal open market committee meeting, members of the Fed President retain permanent voting rights on monetary policy. If confirmed, Milan will join the board in a direct and permanent vote in determining interest rates.

The Senate Banking Committee is expected to vote for Milan’s appointment within a week of the September 4 hearing. If approved by the committee, the full Senate will vote shortly afterwards.