President Donald Trump's latest pair of hopefuls for the Federal Reserve board don't have the same baggage as Stephen Moore and Herman Cain. And that might be just enough to get them confirmed.
After Cain and Moore's Fed prospects both ended in spectacular failure, Trump's choices of Christopher Waller and Judy Shelton are being viewed as significant improvements despite Shelton's support for the gold standard and shifting positions on interest rates.
And so Republicans are optimistic about the nominations even as they caution that confirmation could be several months away given the vetting the Senate is expected to do.
"I suspect they'll have a much smoother path than some of the previous noms," Senate Majority Whip John Thune said in an interview.
Republicans who had panned Moore's comments demeaning women or Cain's history in politics and sexual harassment allegations against him said they were far more comfortable with Waller, a research director at the Federal Reserve Bank of St. Louis, and Shelton, a Senate-confirmed economist in the Trump administration. By contrast, Moore and Cain were tagged as political nominees who also had personal issues that derailed their bids.
"There is an improvement in quality of candidates that have been nominated," said Sen. Joni Ernst (R-Iowa), who criticized Moore's candidacy and spoke to the White House about it. "They're solid candidates, but we need to vet them further."
"I'm happy that they're not politicians, they're economists," added Sen. Mitt Romney (R-Utah), who led the charge against Cain.
There are still plenty of hurdles for the two. They haven't even officially been nominated yet, a stage that neither Moore nor Cain reached. Senate Banking Chairman Mike Crapo (R-Idaho) predicted it would be several weeks before the Senate receives the nominees' paperwork, meaning confirmation hearings likely would be after the August recess.
And Shelton could be a lightning rod. She'll face questions about her endorsement of the gold standard, which the United States abandoned decades ago, and her comments questioning the Federal Reserve's very ability to set interest rates.
But Republicans are comparatively confident that the two can win confirmation this fall in the Senate and fill out Trump's Fed, an achievement that has eluded the president for months as he's sought to put his stamp on the central bank and lower interest rates.
Thune said no senator has raised red flags to him about the nominations and said the reaction internally has so far been "more favorable and positive" than it was for Cain and Moore, who each antagonized Republicans in the past.
"You want to get people who are confirmable, and it seems like on the surface, from what I've seen, these are noms that can pass that test," Thune said.
"I have not seen anything that would be derogatory," said Sen. John Cornyn (R-Texas), a former party whip. They will be confirmed "unless something else comes up."
Shelton in particular will face difficult questions from Senate Democrats for previous endorsements of the gold standard and flip-flopping on interest rate policy depending on the political winds. But she and Waller don't need bipartisan support and can even afford to lose three Republicans on their way to confirmation with the filibuster eliminated on nominations.
Many Senate Republicans said her endorsement of the gold standard — which most economists find laughable — was reasonable and that she was just making a point about currency manipulation.
"To me, she's making a larger point. And that is the value of currency matters and that countries should not manipulate their currency in terms of gaining an advantage in trade," Sen. John Kennedy (R-La.) said.
"Even that is understandable," Sen. Tim Scott (R-S.C.) said. "Her overall comments are consistent with independence and a thorough understanding of the actual issues."
Still, some GOP votes may hinge on her answers.
"The one question I would have for her is does she truly embrace a gold standard — that would concern me," said Sen. Susan Collins (R-Maine), who had called Cain "controversial" and said Moore had a "host" of issues to confront in the spring. The new nominees are "both academically extremely well-qualified."
Moore derided cities in Ohio and questioned female referees in college sports; Cain ran for president, was running a pro-Trump outside group that attacked Senate Republicans and also had sexual harassment allegations in his past to confront. Republicans up for reelection blanched at the idea of confirming either of them.
Shelton and Waller are far less prominent and less controversial. But Republicans aren't exactly looking for a name brand to serve on the Federal Reserve.
Trump's latest picks are "certainly politically safer" than their predecessors, Sen. Kevin Cramer (R-N.D.) said.
"They're very interesting nominees. They're both qualified, they're both intellectually curious," Cramer said. "Stephen Moore was an economist, Herman Cain was [director of the Federal Reserve Bank of Kansas City]. It's not like those guys didn't have it. They've just been a little too outspoken in their other areas."
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