Senator Warren publicly opposes Powell for second term at Fed, calls him 'dangerous man'

Democratic Sen. Elizabeth Warren is making clear her opposition to a second term for Federal Reserve Chairman Jerome Powell.

Warren, a member of the Senate Banking Committee, took the stance Wednesday during Powell's testimony Wednesday before the panel in which she called him a "dangerous man."

"Your record gives me grave concern," said Warren, a progressive and consumer advocate. "Over and over, you have acted to make our banking system less safe, and that makes you a dangerous man to head up the Fed. And it's why I will oppose your renomination."

Powell was appointed to chairman by former President Donald Trump. His term will end early next year.

Several high-profile Democratic lawmakers, including New York Democratic Rep. Alexandria Ocasio-Cortez, another progressive, say they want to see someone with a more aggressive approach on financial regulation heading up the central bank, as well as someone who would focus on climate change. 

Warren specifically criticized the chair for weakening various annual tests that examine whether big banks could withstand a severe recession or economic event.

Powell disagreed with Warren that the stress tests have been weakened, adding that "anything we did is fair game to look at again," indicating that he would be open to review.

President Joe Biden will decide who heads the Fed, an important role of even greater significance as the bank helps the economy recovers from the impacts of the COVID-19 pandemic, an effort being threatened currently by an ongoing employment shortage and supply chain issues.

Democratic lawmakers are split on the prospect of a second term for Powell. He was initially appointed to the central bank's board in 2012 as a selection of then-President Barack Obama. In 2018, then-President Trump promoted him to chairman.