From Jonathan Bernstein:
With his recent reversal on Janet Yellen and monetary policy in general, smart pundits are spending a lot of energy doping out The New Trump, but as far as I can tell it’s mostly a waste of time. A normal president might settle into a regular pattern. Trump continues to bounce — seemingly randomly — between any particular policy and alternatives, including absolute opposites.
So what actually led to Trump’s seeming shift towards potentially keeping Yellen in place as Fed chief and floating a moderate for the open Fed vice-chair in charge of banking regulations? Is it likely that Trump carefully thought through what the Fed does, determined what policies he would like to have going forward, and decided that the current chair is actually pretty good at implementing those policies?