Institution: The nomination of the Federal Reserve Board Governor in Milan is not significant.

Ryan Sweet, Chief Economist at the Oxford Economics Institute, said that nominating Milan as a temporary director of the Federal Reserve itself does not have much significance in terms of changing the monetary policy path. The biggest uncertainty lies in whether he can obtain Senate confirmation in time to have voting rights at the September meeting. If he can catch up, the possibility of three dissenting votes will increase if the Federal Reserve chooses not to cut interest rates in September. However, I do believe that the possibility of a rate cut in September is increasing, not because of this nomination, but because of recent changes in labor market data.