Exclusive: Contenders emerge for No.2 Fed job, search to narrow (In this Dec. 8 story, corrects Peters’ affiliation in paragraph 12 to reflect company name change) By Jonathan Spicer and Rob Cox NEW YORK (Reuters) - The Federal Reserve Bank of New York will soon narrow its search for candidates to fill what is considered the Fed’s second-most powerful job after having scouted a diverse field, from a local business school dean to a former Fed governor. New York Fed President William Dudley steps down in mid-2018 and people in contact with the directors leading the search for his successor say they have so far considered several economists, academics, investors, bankers and policymakers. “They are looking beyond the traditional mold” of an expert in banking, markets or monetary policy, and plan to start trimming a preliminary list of candidates in coming days, said one person in contact with the directors.  The New York Fed president is at the intersection of U.S. monetary policy and financial markets, and is responsible for the policing of Wall Street and the diplomacy with central bank counterparts around the world.  Unlike other top roles with a permanent vote on policy, the New York Fed boss is nominated by the regional bank’s board of directors rather than the White House and does not require Congressional approval. Dudley’s successor could play an even greater role guiding the Fed through a historic leadership change in which U.S. President Donald Trump can fill six of the seven seats on the Fed Board of Governors. He has so far named Jerome Powell and Randal Quarles - lawyers, not PhD economists - to top positions in Washington, with Powell replacing Chair Janet Yellen who unlike her predecessors will only serve one term. Both men support the Republican push for Wall Street deregulation. Yet their relatively limited experience with monetary policy compared with their predecessors has raised questions over the Fed’s tightening plans and how it might tackle any severe economic downturn.  By now the New York Fed directors have kept open what an ideal candidate profile should look like, according to people familiar with the search. Two of those people, who declined to be named given the sensitivity of the process, said search firms have contacted among several others Peter Blair Henry, 48, dean of New York University’s Stern School of Business, and former Fed governor Kevin Warsh.  Warsh, 47, who was in the running for Fed Chair before Trump picked Powell last month, declined to be considered for the New York job, they said. One of these people said Henry appeared to be the early front-runner.  Henry and a spokeswoman for Warsh at Stanford University’s Hoover Institution, where he is a visiting fellow, did not respond to requests for comment.  The permanent-voting Fed governors need a White House nod and Senate approval. The other 11 district presidents vote every two or three years under a century-old rotation meant to emphasize New York's unique role as a counterbalance to the Washington-based board. Its president enjoys broad independence and also serves as vice chair of the central bank's rate-setting committee. (For a graphic of the Fed's ideological doves and hawks, see: goo.gl/5BpTex) “It’s a critical position and more important than the Fed’s vice chair from a market standpoint,” Greg Peters, senior investment officer at PGIM Fixed Income, which oversees $695 billion in assets, told Reuters.  Still, the Fed’s Board of Governors would need to approve the nominee chosen by New York’s four-member search committee led by liberal-leaning directors Sara Horowitz and Glenn Hutchins. Horowitz, founder of the Freelancers Union which advocates for independent workers, chairs the New York Fed’s board. Hutchins is co-founder of private-equity firm Silver Lake Partners and a noted public-policy philanthropist.  Several weeks before Dudley’s resignation announcement in early November, the two were already hitting the phones and holding meetings to cast a wide net for potential candidates diverse primarily in terms of professional background, but also race and gender, according to those familiar with the effort. The New York Fed declined to comment. In a video posted on its website last month, the search committee said they sought a range of attributes from team-building and sensitivity to local economic trends, to intellectual leadership and crisis management.  The initial search effort suggests the next New York Fed chief could have a different background than Dudley and his predecessors, who tended to be bankers or market economists with Wall Street or U.S. Treasury experience, and who were all white and male.   Dudley was chief economist at Goldman Sachs before joining the Fed where he became a key architect of its crisis response and later the No. 2 policymaker behind Yellen.  At the time of his departure, the New York Fed will have only begun the tricky task of trimming its currently $4.4-trillion portfolio of assets accumulated since the crisis, a task that would favor candidates with market experience.  Jamaica-born Henry, who will step down as Stern’s dean at year end, would instead bring his expertise in global trade and shore up the number of economists in the Fed’s upper ranks. A review of Henry’s public papers and comments reveal little about his views on U.S. monetary policy or financial supervision, though his expertise in capital flows could bolster the New York Fed’s role as foreign liaison. If chosen he would become the institution’s first black president. Those who have spoken to New York Fed directors said past and present insiders, as well as outsiders, were considered. Among them were: Simon Potter, the head of the New York Fed’s markets desk; Brian Sack, his predecessor in that role now at hedge fund D.E. Shaw; and Lorie Logan, Potter’s deputy.  They said the field also included Lael Brainard, one of four sitting Fed governors; former Fed governor and Harvard professor Jeremy Stein; and Mohamed El-Erian, the chief economic adviser at PIMCO-parent Allianz SE. All of those named declined to comment. It was unclear how much formal contact if any they have had with the New York Fed about the job. The bank has said the process should take six to nine months.       politicsNews
exclusive contenders emerge fed job search narrow in story corrects peters affiliation paragraph reflect company name change by jonathan spider rob cox new york reuters the federal reserve bank new york soon narrow search candidates fill considered fed powerful job scouted diverse field local business school dean former fed governor new york fed president william medley steps people contact directors leading search successor say far considered several economists academics investors bankers policymakers they looking beyond traditional mold expert banking markets monetary policy plan start trimming preliminary list candidates coming days said one person contact directors the new york fed president intersection monetary policy financial markets responsible policing wall street diplomacy central bank counterparts around world unlike top roles permanent vote policy new york fed boss nominated regional bank board directors rather white house require congressional approval medley successor could play even greater role guiding fed historic leadership change president donald trump fill six seven seats fed board governors he far named jerome powell vandal quarter lawyers phd economists top positions washington powell replacing chair janet ellen unlike predecessors serve one term both men support republican push wall street deregulation yet relatively limited experience monetary policy compared predecessors raised questions fed tightening plans might tackle severe economic downturn by new york fed directors kept open ideal candidate profile look like according people familiar search two people declined named given sensitivity process said search firms contacted among several others peter blair henry dean new york university stern school business former fed governor kevin wars wars running fed chair trump picked powell last month declined considered new york job said one people said henry appeared early henry spokeswoman wars stanford university hoover institution visiting fellow respond requests comment the fed governors need white house nod senate approval the district presidents vote every two three years rotation meant emphasize new york unique role counterbalance board its president enjoys broad independence also serves vice chair central bank committee for graphic fed ideological doves hawks see it critical position important fed vice chair market standpoint greg peters senior investment officer pgis fixed income oversees billion assets told reuters still fed board governors would need approve nominee chosen new york search committee led directors sara horowitz glenn hatching horowitz founder freelancer union advocates independent workers chairs new york fed board hatching firm silver lake partners noted philanthropist several weeks medley resignation announcement early november two already hitting phones holding meetings cast wide net potential candidates diverse primarily terms professional background also race gender according familiar effort the new york fed declined comment in video posted website last month search committee said sought range attributes sensitivity local economic trends intellectual leadership crisis management the initial search effort suggests next new york fed chief could different background medley predecessors tended bankers market economists wall street treasury experience white male medley chief economist goldman sachs joining fed became key architect crisis response later no policymakers behind ellen at time departure new york fed begun tricky task trimming currently portfolio assets accumulated since crisis task would favor candidates market experience henry step stern dean year end would instead bring expertise global trade shore number economists fed upper ranks a review henry public papers comments reveal little views monetary policy financial supervision though expertise capital flows could bolster new york fed role foreign liaison if chosen would become institution first black president those spoken new york fed directors said past present insiders well outsiders considered among simon potter head new york fed markets desk brian sack predecessor role hedge fund shaw lore logan potter deputy they said field also included label brainer one four sitting fed governors former fed governor harvard professor jeremy stein mohamed chief economic adviser alliance se all named declined comment it unclear much formal contact new york fed job the bank said process take six nine months politicsnews
Your task is to classify the provided input as real or fake news. Label 0 is meant for fake news, Label 1 is for real news. TEXT: Exclusive: Contenders emerge for No.2 Fed job, search to narrow (In this Dec. 8 story, corrects Peters’ affiliation in paragraph 12 to reflect company name change) By Jonathan Spicer and Rob Cox NEW YORK (Reuters) - The Federal Reserve Bank of New York will soon narrow its search for candidates to fill what is considered the Fed’s second-most powerful job after having scouted a diverse field, from a local business school dean to a former Fed governor. New York Fed President William Dudley steps down in mid-2018 and people in contact with the directors leading the search for his successor say they have so far considered several economists, academics, investors, bankers and policymakers. “They are looking beyond the traditional mold” of an expert in banking, markets or monetary policy, and plan to start trimming a preliminary list of candidates in coming days, said one person in contact with the directors.  The New York Fed president is at the intersection of U.S. monetary policy and financial markets, and is responsible for the policing of Wall Street and the diplomacy with central bank counterparts around the world.  Unlike other top roles with a permanent vote on policy, the New York Fed boss is nominated by the regional bank’s board of directors rather than the White House and does not require Congressional approval. Dudley’s successor could play an even greater role guiding the Fed through a historic leadership change in which U.S. President Donald Trump can fill six of the seven seats on the Fed Board of Governors. He has so far named Jerome Powell and Randal Quarles - lawyers, not PhD economists - to top positions in Washington, with Powell replacing Chair Janet Yellen who unlike her predecessors will only serve one term. Both men support the Republican push for Wall Street deregulation. Yet their relatively limited experience with monetary policy compared with their predecessors has raised questions over the Fed’s tightening plans and how it might tackle any severe economic downturn.  By now the New York Fed directors have kept open what an ideal candidate profile should look like, according to people familiar with the search. Two of those people, who declined to be named given the sensitivity of the process, said search firms have contacted among several others Peter Blair Henry, 48, dean of New York University’s Stern School of Business, and former Fed governor Kevin Warsh.  Warsh, 47, who was in the running for Fed Chair before Trump picked Powell last month, declined to be considered for the New York job, they said. One of these people said Henry appeared to be the early front-runner.  Henry and a spokeswoman for Warsh at Stanford University’s Hoover Institution, where he is a visiting fellow, did not respond to requests for comment.  The permanent-voting Fed governors need a White House nod and Senate approval. The other 11 district presidents vote every two or three years under a century-old rotation meant to emphasize New York's unique role as a counterbalance to the Washington-based board. Its president enjoys broad independence and also serves as vice chair of the central bank's rate-setting committee. (For a graphic of the Fed's ideological doves and hawks, see: goo.gl/5BpTex) “It’s a critical position and more important than the Fed’s vice chair from a market standpoint,” Greg Peters, senior investment officer at PGIM Fixed Income, which oversees $695 billion in assets, told Reuters.  Still, the Fed’s Board of Governors would need to approve the nominee chosen by New York’s four-member search committee led by liberal-leaning directors Sara Horowitz and Glenn Hutchins. Horowitz, founder of the Freelancers Union which advocates for independent workers, chairs the New York Fed’s board. Hutchins is co-founder of private-equity firm Silver Lake Partners and a noted public-policy philanthropist.  Several weeks before Dudley’s resignation announcement in early November, the two were already hitting the phones and holding meetings to cast a wide net for potential candidates diverse primarily in terms of professional background, but also race and gender, according to those familiar with the effort. The New York Fed declined to comment. In a video posted on its website last month, the search committee said they sought a range of attributes from team-building and sensitivity to local economic trends, to intellectual leadership and crisis management.  The initial search effort suggests the next New York Fed chief could have a different background than Dudley and his predecessors, who tended to be bankers or market economists with Wall Street or U.S. Treasury experience, and who were all white and male.   Dudley was chief economist at Goldman Sachs before joining the Fed where he became a key architect of its crisis response and later the No. 2 policymaker behind Yellen.  At the time of his departure, the New York Fed will have only begun the tricky task of trimming its currently $4.4-trillion portfolio of assets accumulated since the crisis, a task that would favor candidates with market experience.  Jamaica-born Henry, who will step down as Stern’s dean at year end, would instead bring his expertise in global trade and shore up the number of economists in the Fed’s upper ranks. A review of Henry’s public papers and comments reveal little about his views on U.S. monetary policy or financial supervision, though his expertise in capital flows could bolster the New York Fed’s role as foreign liaison. If chosen he would become the institution’s first black president. Those who have spoken to New York Fed directors said past and present insiders, as well as outsiders, were considered. Among them were: Simon Potter, the head of the New York Fed’s markets desk; Brian Sack, his predecessor in that role now at hedge fund D.E. Shaw; and Lorie Logan, Potter’s deputy.  They said the field also included Lael Brainard, one of four sitting Fed governors; former Fed governor and Harvard professor Jeremy Stein; and Mohamed El-Erian, the chief economic adviser at PIMCO-parent Allianz SE. All of those named declined to comment. It was unclear how much formal contact if any they have had with the New York Fed about the job. The bank has said the process should take six to nine months.       politicsNews
Your task is to classify the provided input as real or fake news. Label 0 is meant for fake news, Label 1 is for real news. TEXT: exclusive contenders emerge fed job search narrow in story corrects peters affiliation paragraph reflect company name change by jonathan spider rob cox new york reuters the federal reserve bank new york soon narrow search candidates fill considered fed powerful job scouted diverse field local business school dean former fed governor new york fed president william medley steps people contact directors leading search successor say far considered several economists academics investors bankers policymakers they looking beyond traditional mold expert banking markets monetary policy plan start trimming preliminary list candidates coming days said one person contact directors the new york fed president intersection monetary policy financial markets responsible policing wall street diplomacy central bank counterparts around world unlike top roles permanent vote policy new york fed boss nominated regional bank board directors rather white house require congressional approval medley successor could play even greater role guiding fed historic leadership change president donald trump fill six seven seats fed board governors he far named jerome powell vandal quarter lawyers phd economists top positions washington powell replacing chair janet ellen unlike predecessors serve one term both men support republican push wall street deregulation yet relatively limited experience monetary policy compared predecessors raised questions fed tightening plans might tackle severe economic downturn by new york fed directors kept open ideal candidate profile look like according people familiar search two people declined named given sensitivity process said search firms contacted among several others peter blair henry dean new york university stern school business former fed governor kevin wars wars running fed chair trump picked powell last month declined considered new york job said one people said henry appeared early henry spokeswoman wars stanford university hoover institution visiting fellow respond requests comment the fed governors need white house nod senate approval the district presidents vote every two three years rotation meant emphasize new york unique role counterbalance board its president enjoys broad independence also serves vice chair central bank committee for graphic fed ideological doves hawks see it critical position important fed vice chair market standpoint greg peters senior investment officer pgis fixed income oversees billion assets told reuters still fed board governors would need approve nominee chosen new york search committee led directors sara horowitz glenn hatching horowitz founder freelancer union advocates independent workers chairs new york fed board hatching firm silver lake partners noted philanthropist several weeks medley resignation announcement early november two already hitting phones holding meetings cast wide net potential candidates diverse primarily terms professional background also race gender according familiar effort the new york fed declined comment in video posted website last month search committee said sought range attributes sensitivity local economic trends intellectual leadership crisis management the initial search effort suggests next new york fed chief could different background medley predecessors tended bankers market economists wall street treasury experience white male medley chief economist goldman sachs joining fed became key architect crisis response later no policymakers behind ellen at time departure new york fed begun tricky task trimming currently portfolio assets accumulated since crisis task would favor candidates market experience henry step stern dean year end would instead bring expertise global trade shore number economists fed upper ranks a review henry public papers comments reveal little views monetary policy financial supervision though expertise capital flows could bolster new york fed role foreign liaison if chosen would become institution first black president those spoken new york fed directors said past present insiders well outsiders considered among simon potter head new york fed markets desk brian sack predecessor role hedge fund shaw lore logan potter deputy they said field also included label brainer one four sitting fed governors former fed governor harvard professor jeremy stein mohamed chief economic adviser alliance se all named declined comment it unclear much formal contact new york fed job the bank said process take six nine months politicsnews