Philadelphia Fed names Anna Paulson of Chicago Fed as new chief

NEW YORK, April 17 (Reuters) - Anna Paulson, currently head of research at the Chicago Fed, has been tapped to become the next leader of the Federal Reserve Bank of Philadelphia, the bank said Thursday.

Paulson will take office on July 1, replacing Patrick Harker, who retires at the end of June.

“For two decades, Anna has demonstrated a strong commitment to the Federal Reserve’s dual mandate of price stability and maximum employment,” said Anthony Ibargüen, chair of the Philadelphia Fed’s board of directors, in a statement. “Her expansive technical expertise and mission-driven focus will be a tremendous asset to the Philadelphia Fed and the communities it serves.”

The new Philadelphia Fed president will join the central bank at a fraught time. It faces major economic challenges while wrangling with President Donald Trump, who on Thursday mused about “termination” of Fed Chairman Jerome Powell’s leadership role.

Trump's huge trade tariffs have added considerable uncertainty to the outlook, called into question U.S. markets as a global safe haven, amid expectations the import tax surge will drive up already high inflation and unemployment while depressing growth.

Fed officials have been flagging the significant challenges of this economic landscape, as this mix of economic developments does not argue for a clear policy response.

Outgoing Philadelphia chief Harker, a former engineer who took a pragmatic approach to policy making, took office in 2015 and bolstered the institution’s work on issues like the intersection of universities and hospitals on local communities.