Treasury chief names Fed chair finalists ahead of rate-decision meeting
Treasury Secretary Scott Bessent on Monday confirmed the names of five finalists to succeed Federal Reserve Chairman Jerome Powell, with President Donald Trump saying he expects to decide by the end of the year.
Bessent told reporters on Monday on Air Force One that the candidate pool has narrowed to current Fed board members Christopher Waller and Michelle Bowman, former Fed governor Kevin Warsh, White House National Economic Council Director Kevin Hassett and BlackRock executive Rick Rieder.
Bessent, who has taken charge of the selection process, reaffirmed that he plans to conduct another round of interviews and is likely to present a “good slate” to Trump after the Thanksgiving holiday.
Fed policymakers are widely expected to lower rates by 25 basis points at their two-day policy meeting scheduled for Oct. 28 to 29. This would mark the second consecutive rate cut this year.
Powell’s term concludes in May, but his service as a governor ends in 2028. He has not indicated whether he plans to leave the Fed when his time at the helm expires.
Carter's announces layoffs affecting hundreds of employees
Baby clothes maker Carter's said Monday that it's reducing its office-based workforce by about 300 positions, or 15% of that staff, by the end of this year.
The layoffs are part of a larger strategy to help reduce company costs, Carter's officials said. The plan also includes closing about 150 stores across North America over the next three years, up from the previously announced 100. The closures are expected to happen this year and in 2026, the company said.
Carter's announced the layoffs and store closures during a third-quarter earnings call. Company officials reported $11.6 million in profit for the quarter compared to $58.3 million the year prior.
"Elevated product costs, in part due to the impact of higher tariffs, as well as additional investment, weighed meaningfully on our profitability," CEO Douglas Palladini said in a statement.
Popular Bank exits residential mortgage origination business
The parent company of Popular Bank will no longer offer home loans, company officials said late last week.
During a third-quarter earnings call, Banco Popular of Puerto Rico announced a two-part plan for helping improve profits. First, the company is closing its home-lending operation.
"We do not believe given our funding profile and the positive pension in the U.S. that [home lending] is a business that we really want to be in at this time," Jorge Jose Garcia said in a statement.
Popular also plans to shutter four branch locations in New York that company officials have deemed underperforming. The bank has roughly 50 locations in the Empire State, New Jersey, and Florida. Ally Financial and WaFd Bank also exited the home lending business this year.