Trump nominates Kevin Warsh for new chairman of the Federal Reserve
President Donald Trump announced on Friday morning that he will nominate Kevin Warsh to be the new chairman of the Federal Reserve.
Trump shared the news in a Truth Social post, saying, “I have known Kevin for a long period of time, and have no doubt that he will go down as one of the GREAT Fed Chairmen, maybe the best,” Trump wrote. “On top of everything else, he is “central casting,” and he will never let you down.”
Who is Kevin Warsh?
This would not be Warsh’s first time serving on the Federal Reserve Board of Governors. From February 2006 to March 2011, he served as a governor after being nominated by then-President George W. Bush.
During that tenure, he oversaw some of the Fed’s administrative duties.
If confirmed by the Senate, Warsh would replace Jerome Powell, whose term ends in May.
Powell and Trump
Trump appointed Powell in 2018, but the two have clashed since the start of Trump’s second term, with Powell resisting White House pressure to cut interest rates.
Warsh, a former Morgan Stanley executive, has long been seen as more sympathetic to lower rates, a shift that could alter the Fed’s policy path.
Earlier this month, Powell confirmed that federal prosecutors have launched a criminal investigation into him. The investigation followed intense pressure by Trump for the Fed to institute sharp interest rate cuts — pressure that many of Trump’s critics say threatened the central bank’s historic independence.
Since the news of the investigation, lawmakers from both sides of the aisle have spoken out against the move, again acknowledging concerns that moves from the administration could threaten the Fed’s independence.
Those concerns could make it difficult for Warsh to be confirmed in the Senate.
The post Trump nominates Kevin Warsh for new chairman of the Federal Reserve appeared first on Straight Arrow News.
Ella Rae Greene, Editor In Chief
