Fed's Dudley: Don't forget the financial crisis
On the day he quit one of the most powerful positions with the Federal Reserve, William Dudley sounded off.
Speaking at The Economic Club of New York on Monday, Dudleysaid “We should not lose sight of the horrific damage caused the financial crisis, including the worst recession of our lifetimes and millions of people losing their jobs and homes. We had a woefully inadequate regulatory regime in place, and while it is much better now, there is still work to do… the regulatory requirements should be appropriately calibrated to avoid inadvertently creating a competitive advantage for larger financial firms.”
Dudley’s comments came as he announced he would leave his post as president and CEO of the Federal Reserve Bank of New York in mid-2018. He was supposed to stay in the role through January 2019 when he would reach the 10-year term limit. A search is currently underway for the next New York Fed president.
Last week, Donald Trump nominated current Fed Gov. Jerome Powell as the next Federal Reserve chairman to take over from Janet Yellen when her term is up in February 2018. Powell, like his predecessor, is seen as having a “dovish” stance when it comes to monetary policy, but more amenable to relaxing regulations.
Dudley became the 10th president and CEO of the Federal Reserve Bank of New York in January 2009, taking over when Wall Street wasstill recovering from the 2008 financial crisis.