Jerome Powell sworn in as new US Fed chief

But he said he and the other Fed officials will "remain vigilant and we are prepared to respond to evolving risks". "I'm not able to think of a human activity that can be simplified in an equation", he commented in one of his speeches before he was appointed as central bank's leader. Yellen said the economy can continue to grow. His nomination was approved by the Senate earlier this month for a four-year term as chairman that will end in February 2022. The Dow Jones index has lost 5% of its value since last record, after extending this Monday heavy falls that were seen on Friday, on last day of Yellen.

"My colleagues and I at the Federal Reserve will put everything we have into serving you and our country with objectivity, independence, and integrity", Powell said in a prerecorded introduction video.

"I've worked with Gov. Powell for five years, very constructively", Yellen said.

He has steadily supported Ms Yellen's approach to monetary policy and financial regulation, creating an expectation that he would be unlikely to attempt large or sharp changes in the Fed's course. He voted along with Yellen on Friday to order Wells Fargo & Co.to cap its growth and improve its corporate governance in the wake of the bank's unauthorized accounts scandal. He graduated in politics from Princeton and in law by Georgetown.

The former lawyer will be the first Fed chair without an extensive background in economics since G William Miller in the late 1970s.

"If the Fed raises (the) rate sufficiently to assure financial stability, there is the risk that the economy will slow too much".

He was a partner at the investment firm Carlyle Group from 1997 through 2005.

Powell took the oath of office at the central bank in Washington on Monday.

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