Trump Nominates Kevin Warsh as Next Federal Reserve Chair
President Donald Trump nominated Kevin M. Warsh to lead the U.S. Federal Reserve, according to announcements made Friday. The move positions the former central bank governor to head an institution that has faced criticism from the Trump administration for its reluctance to lower interest rates more aggressively, the New York Times reported.
Trump praised Warsh in a post on Truth Social, stating, "He will go down as one of the GREAT Fed Chairmen, maybe the best." He reiterated this sentiment during remarks at the White House, adding that Warsh is "central casting and will never let you down," according to the New York Times. While Trump acknowledged he did not receive a commitment from Warsh to cut rates, he expressed his expectation that Warsh would do so.
Warsh, a former Fed governor, was previously considered for the position during Trump's first term, according to BBC World. The appointment comes amid growing concerns about the Fed's independence, following Trump's increasing attacks on current chairman Jerome Powell in recent months. Powell has reportedly angered Trump by not cutting interest rates quickly enough.
According to BBC World, Warsh has been an outspoken critic of the Fed and is expected to support lower interest rates in the near term. However, the New York Times noted that living up to Trump's expectations may not be easy, given the president's desire for substantially lower borrowing costs and his previous attempts to pressure the Fed.
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