Institutions: Market Views Warsh as a "Moderate Hawk" and Guardian of Independence

Odaily News Kristina Clifton, Senior Economist and Senior Currency Strategist at the Commonwealth Bank of Australia, stated that the US dollar indeed seems to have risen on this news. I think this is because the market generally perceives Warsh as slightly less dovish than the other candidate, Hassett. So today's market volatility is just a small move based on this, and perhaps Warsh would be more capable of safeguarding the Federal Reserve's independence compared to some other candidates. We haven't heard much from him yet, but he has made some comments to the effect that he hopes to strictly adhere to the Fed's mandate of controlling inflation. He has also served as a Federal Reserve Governor and did not support quantitative easing, so perhaps this again indicates he is slightly more hawkish than some other potential candidates. (Jin10)