Fed Chair Nominee Waller Expected to Restore Market Confidence

Seth R. Freeman, Senior Managing Director at GlassRatner Advisory & Capital Group, highlighted that one of the primary tasks for the newly nominated Federal Reserve Chair, Waller, will be to restore global market confidence. According to Odaily, this is particularly significant given the recent tensions between U.S. President Donald Trump and Jerome Powell over the past few months. Freeman expressed that Waller is the best choice for the position, having served in government for a long time. The positive aspect of this nomination is the anticipated reduction in uncertainty and market disruptions caused by Trump's persistent pressure on the Federal Reserve Chair, which is beneficial for everyone. Additionally, Freeman noted the sharp decline in gold and an even steeper drop in silver, indicating a stronger dollar and a different market environment, especially for silver. Given this nomination, it should not be surprising if metal prices do not rebound significantly. With Waller's hawkish stance, traders heavily invested in precious metals might face losses, particularly those with unhedged or short positions. Some traders could find themselves in a difficult situation next Monday, especially those not maintaining a neutral stance or shorting precious metals.