This one is going to hurt. Stanley Fischer is one, if not, our favorite economist.
As Larry Summers points out in his recent piece in the Washington Post,
The Fed and the international monetary system will be weaker for his departure from official responsibility. It is the end of an era. – Larry Summers, September 7
Our friend, Terence Reilly, over at the Wall Street Blog sums it up best.
When the pressure is on we like to have what we term ‘adults’ in the room. The ‘adults’ are not only the smartest people in the room but they are people who know how and when to make a decision. Stanley Fischer is one of those ‘adults’. Dr Fischer, former professor at MIT, vice chairman of CitiGroup, and chief economist of the World Bank, and former Governor of the Bank of Israel, resigned his position as vice chair of the Federal Reserve. Fischer played the role of intelligent hawk who we felt comfortable leaving in charge of the store. As this critical time approaches of the Fed removing stimulus his absence alone makes us less confident in the ‘adults’ left in the room. In one of his last public speeches as part of the Federal Reserve Dr Fischer warned about historically high asset valuations.
This post was published at Zero Hedge on Sep 11, 2017.