Trump's Fed ex-nominee Shelton to advise Bessent, Treasury says
- Judy Shelton, once blocked from the Fed for being 'too partisan,' lands Treasury advisory gig.
- Bessent recruits former Trump nominee to keep a sharp eye on China's financial chaos.
- Shelton's brief: Deciphering currency policy and the dragon's economic moves.
- Bipartisan Fed-blocking efforts in 2020 apparently didn't kill her D.C. career.
Brief Summary
Treasury Secretary Scott Bessent is bringing Judy Shelton back into the inner circle, tasking the polarizing economist with navigating the treacherous waters of China's financial system and currency policy. Shelton, who famously failed to secure a seat at the Federal Reserve after senators balked at her unorthodox views and political baggage, is pivoting to an advisory role where her skepticism of current global monetary structures can be put to use.
Why This Matters
This move signals a shift toward a more aggressive, interventionist stance on international currency and trade relations. When the Treasury brings in advisors known for challenging the status quo, expect volatility in how the U.S. approaches trade deals and potential sanctions against Beijing. If you have retirement accounts or investments exposed to international markets, understand that this staffing choice suggests the administration is preparing for a tougher, more volatile economic tug-of-war with China that could ripple through your portfolio.