Today, President Trump named former Fed governor Kevin Warsh to succeed Jerome Powell as Federal Reserve chair. Trump’s pick of Warsh, 55, is unlikely to radically ripple markets because of his past Fed experience.
In a lengthy post on Truth Social, Trump explained his decision, writing:
“I am pleased to announce that I am nominating Kevin Warsh to be the CHAIRMAN OF THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM. Kevin currently serves as the Shepard Family Distinguished Visiting Fellow in Economics at the Hoover Institution, and Lecturer at the Stanford Graduate School of Business. He is a Partner of Stanley Druckenmiller at Duquesne Family Office LLC. Kevin received his A.B. from Stanford University, and J.D. from Harvard Law School.”
“He has conducted extensive research in the field of Economics and Finance. Kevin issued an Independent Report to the Bank of England proposing reforms in the conduct of Monetary Policy in the United Kingdom. Parliament adopted the Report’s recommendations. Kevin Warsh became the youngest Fed Governor, ever, at 35, and served as a Member of the Board of Governors of the Federal Reserve System from 2006 until 2011, as the Federal Reserve’s Representative to the Group of Twenty (G-20), and as the Board’s Emissary to the Emerging and Advanced Economies in Asia.”
“In addition, he was Administrative Governor, managing and overseeing the Board’s operations, personnel, and financial performance. Prior to his appointment to the Board, from 2002 until 2006, Kevin served as Special Assistant to the President for Economic Policy, and Executive Secretary of the White House National Economic Council. Previously, Kevin was a member of the Mergers & Acquisitions Department at Morgan Stanley & Co., in New York, serving as Vice President and Executive Director.”
He concluded, “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. On top of everything else, he is “central casting,” and he will never let you down. Congratulations Kevin! PRESIDENT DONALD J. TRUMP”
The pick concludes a lengthy journey marked by unprecedented turmoil surrounding the central bank since Trump’s first term in office.
In the past, Warsh has been highly critical of the Fed, he has also criticized Powell personally for making “unwise choices.” Warsh has also stated that he believes the Fed should treat tariffs as one-time price adjustments, a perspective shared by the White House and many Fed members today.
Sen. Thom Tillis, a Republican from North Carolina, has threatened to block any nominee Trump puts forward until the Justice Department’s criminal investigation into Powell is resolved.
Today, Tillis wrote on X: “Kevin Warsh is a qualified nominee with a deep understanding of monetary policy. However, the Department of Justice continues to pursue a criminal investigation into Chairman Jerome Powell based on committee testimony that no reasonable person could construe as possessing criminal intent.”
By CEO NA Editorial Staff
