Clarida, Bowman Affirm Commitment to Fed’s Independence in Setting Rates

Potential top lieutenant, Richard Clarida, says stock-market volatility by itself shouldn’t determine how the Fed makes rate-setting decisions

WASHINGTON—A hearing before the Senate Banking Committee on Tuesday offered investors and the public more detail about how the Fed will take shape under its new chairman, Jerome Powell.

Mr. Powell wasn’t a witness, but the economist nominated to serve as his No. 2, Richard Clarida, faced questions that could shed more light on how the Fed approaches a series of puzzles facing monetary-policy authorities.

Chief...