Warsh nominated to replace Powell as Fed chair; Shutdown deal stalls amid holdouts

President Donald Trump has nominated Kevin Warsh to be his next Federal Reserve chair, a leading candidate who could influence interest rate policy.

Plus, Washington races toward a shutdown deadline, as a dispute over Homeland Security funding threatens to halt parts of the government.

And another major winter storm takes aim at the East, where forecasters warn a rapidly strengthening system could bring heavy snow, damaging winds and dangerous cold.

These stories and more highlight your Unbiased Updates for Friday, January 30, 2026.

Trump nominates Kevin Warsh to succeed Jerome Powell as Fed chair

President Donald Trump announced his pick for the next Federal Reserve chair Friday morning, nominating Kevin Warsh.

“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.”

If confirmed by the Senate, Warsh would succeed Jerome Powell, whom Trump himself appointed in 2018. Powell’s term expires in May.

Trump and Powell 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.

Bipartisan holdouts threaten shutdown deadline after Senate announces deal

Senate Democrats and Trump have reached a tentative agreement to keep the government open, but lawmakers are struggling to secure the votes needed to pass it. The proposal would split funding for the Department of Homeland Security from the broader spending package.

Under the plan, most of the government would be funded through September, while DHS would receive only a short-term extension of about two weeks, giving lawmakers more time to negotiate immigration policy.

The talks follow growing pressure on Capitol Hill after a second deadly federal officer-involved shooting in Minneapolis. The killing has intensified debate over the Trump administration’s enforcement strategy.

But before any vote can occur, the Senate must reach a unanimous agreement to advance the measure, and several lawmakers from both parties are still holding out.

Among the most vocal is Sen. Lindsey Graham, R-S.C. ABC News reported that Graham “stormed” into Senate Majority Leader John Thune’s office Thursday, calling the agreement a “bad deal” and saying he opposes it moving forward.

Even if the Senate passes the bill on Friday, a short government shutdown remains possible. The House would still need to approve the measure before it can reach Trump’s desk.

Trump threatens tariffs over Cuba, warns nations selling oil

Trump has threatened new tariffs on more countries, this time targeting countries that sell oil to Cuba.

In an executive order signed Thursday, the president calls Cuba’s government an extraordinary threat to U.S. National security and foreign policy. The same order cites Havana’s ties to Russia, China, Iran and militant Hamas and Hezbollah.

Trump didn’t specify how high the tariffs could go, but said any country that directly or indirectly provides oil to Cuba could face new levies on goods sold in the United States.

Speaking to reporters at an event honoring First Lady Melania Trump at the Kennedy Center, the president suggested Cuba’s government may not endure.

“Cuba is a failing nation, and you have to feel badly for Cuba; they’ve treated people very badly,” Trump said. “We have a lot of Cuban Americans who really were treated very badly, and they’d probably like to go back. And no, I’m not trying to, but it looks like it’s something that’s just not going to be able to survive. I think Cuba will not be able survive.”

The president also escalated trade tensions with Canada, threatening to de-certify Canada-made aircraft and impose a 50% tariff.

Trump accused Canada of illegally blocking certification of U.S.-built Gulfstream jets.

Trump sues IRS, Treasury Department for $10 billion over tax leak

Tax season has arrived, and Trump is demanding a huge payout from the federal government. He is suing the Internal Revenue Service (IRS) and the Treasury Department for $10 billion. 

The lawsuit accuses the agencies of failing to protect sensitive records after an IRS contractor leaked tax returns belonging to Trump and his sons, Donald Jr. and Eric, to news organizations in 2020. The suit claims the disclosures caused “reputational and financial harm, public embarrassment,” and unfairly damaged the family’s business standing.

Former contractor Charles Littlejohn is now serving a five-year prison sentence for leaking federal data.

The New York Times reported that Trump paid just $750 in federal income tax in 2016 and again in 2017. ProPublica later published a report using the same cache of information.

Prosecutors alleged that Littlejohn misused his access to confidential taxpayer data to further his own political agenda. Trump, diverging from traditional presidential norms, consistently declined to release his tax returns during his campaigns and presidency, despite ongoing political pressure.

Just days ago, the Treasury Department canceled all contracts with the firm for which Littlejohn worked. So far, neither the IRS nor the Treasury has publicly responded to the lawsuit.

Gabbard makes surprise appearance at Georgia election raid

New questions arise after the nation’s top intelligence official was seen at an FBI raid related to the 2020 election. Photos show Director of National Intelligence Tulsi Gabbard at the scene Wednesday night as federal agents searched an elections facility in Georgia — an uncommon sight for a spy chief involved in a domestic law enforcement operation.

So why was she there?

According to exclusive reporting from The Wall Street Journal, Gabbard has quietly spent months leading the Trump administration’s effort to reexamine the 2020 election, analyzing voting data, reviewing claims of foreign interference and searching for potential crimes. The Journal reported she has been regularly briefing the president and senior aides and is expected to produce a formal report on her findings.

The court-authorized search targeted ballots, voter records and voting machine data as part of an investigation into potential violations of federal election law, the Journal reported.

Cybersecurity experts and multiple past reviews have found no evidence of widespread fraud in the 2020 race, a claim Trump continues to dispute, asserting he did not lose to former President Joe Biden.

Why did Tulsi Gabbard take part in a raid on an elections office? We need to step up to protect our elections from this administration’s meddling. pic.twitter.com/6mHOgd4jKf

— Mark Warner (@MarkWarner) January 29, 2026

Gabbard’s presence is now drawing sharp criticism from Democrats. In a post on X, Virginia Sen. Mark Warner questioned why the intelligence chief would participate in an election raid:

“Tulsi Gabbard has even been in charge of dismantling what was even called the foreign malign influence center to try to make sure foreign countries don’t interfere in our elections. This complete Trump loyalist somehow popping up at an FBI raid — what the heck was she doing? We ought to stand up and step up against ICE. We also got to stand up to protect our elections coming this year.”

— Sen. Mark Warner, D-Va.

Administration officials counter that Gabbard plays a key role in protecting election infrastructure and preventing foreign interference.

The search marks the latest step in the administration’s ongoing effort to revisit the election, nearly six years after it was decided.

Another winter storm targets the East Coast

Another dangerous winter weather system is now moving toward the East Coast, just as millions are still clearing snow from last weekend’s deadly storm. This one is being called “a bomb cyclone.”

Forecasters predict ongoing Arctic air masses will keep temperatures far below freezing throughout the weekend, resulting in one of the most extended cold periods in the eastern U.S. in decades. Record lows are possible in several major cities, with wind chills dropping below zero in some areas.

Attention now turns to a coastal system expected to develop off the Carolinas on Friday night, which could intensify into a powerful winter storm. Meteorologists are growing more confident that the southern Appalachians, Carolinas and parts of Virginia will experience substantial snowfall, with some areas expecting up to a foot or more.

Major Winter Storm this weekend for the Carolinas into Virginia with heavy snow, high wind (localized Blizzard conditions), and major coastal flooding. pic.twitter.com/pH3UQus3Oa

— NWS Weather Prediction Center (@NWSWPC) January 29, 2026

The warning comes as many communities are still recovering from the recent winter storm, which occurred just a few days ago in New York City.

Utility crews in parts of the South, including Tennessee, are working urgently to restore power. Thick ice brought down trees and power lines, leaving tens of thousands of people in Nashville in the dark.

At least 80 deaths nationwide are linked to the prolonged cold, and that number will likely increase this weekend. 

Ancient Zapotec tomb uncovered in significant archaeological breakthrough

Archaeologists have uncovered a 1,400-year-old tomb in Mexico, described as one of the most important finds in years. Located in the southern state of Oaxaca, the tomb was built by the indigenous Zapotecs — often called the “Cloud people” — around the year 600.

Officials said the archaeologists were alerted to the site after receiving an anonymous report of possible looting.

Above the entrance, researchers found a striking stone sculpture — an owl clutching a human head in its beak — a symbol experts believe is associated with death and the afterlife. Inside, the chamber features vibrant murals and iconography associated with power and spiritual beliefs, details that shed new light on Zapotec culture.

Mexico’s President Claudia Sheinbaum called it the “most significant archaeological discovery of the last decade.”

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More from Straight Arrow News:

Does Congress need a retirement age? Houston is the testing ground

Houston voters are casting ballots this week to fill a Congressional seat that has been vacant for nearly a year. 

When U.S. Rep. Sylvester Turner died in the hours after the 2025 State of the Union address, the longtime politician left a wide void in his home city of Houston, Texas. Most pressingly, his passing at the age of 70 meant his Congressional seat would be vacant due to a death for the second time in less than a year.

Turner, a two-term Houston mayor who battled cancer during his final four years in office, had only been sworn into his first term in Congress 61 days earlier, filling the seat left open upon the death of Sheila Jackson Lee the previous summer. The 18th District — long a stronghold for Black Democrats — has remained vacant, affecting the razor-thin divide between Democrats and Republicans in the House. 

No matter the outcome of Saturday’s special election, the district is guaranteed to see a generational shift in its representation. Both candidates vying for the seat, Harris County Attorney Christian Menefee, 37, and former Houston City Councilwoman Amanda Edwards, 44, are Millennials. Turner and Jackson Lee, the latter of whom represented the 18th district for 29 years, were both Baby Boomers. 

The fact that the 18th district has lost two older leaders in quick succession while younger candidates — including Edwards, once an intern of Jackson Lee’s — have waited for a chance to jump in, has not been lost on the district’s constituents. But there are no rules that say one generation must step aside to make way for another in public service. 

Yet. Read the full story now>

The post Warsh nominated to replace Powell as Fed chair; Shutdown deal stalls amid holdouts appeared first on Straight Arrow News.

Ella Rae Greene, Editor In Chief