US President Donald Trump has nominated Kevin Warsh, a former Federal Reserve governor and outspoken critic of the central bank, to lead the US Federal Reserve.
Warsh, 55, served on the Federal board from 2006 to 2011 and has been vocal about the need for reform and lower interest rates. His nomination comes as current chair Jerome Powell’s term ends in May.
Warsh now faces Senate confirmation, which could be delayed due to an ongoing federal investigation into Powell.
Analysts say Warsh is a rare choice who may satisfy both Trump’s push for lower rates and the markets’ need for a credible, independent Fed chair. His previous “hawkish” stance on inflation is now tempered by support for near-term rate cuts.
Trump praised Warsh as “central casting” and a future “great Fed Chairman,” while Democrats, including Senator Elizabeth Warren, warn the nomination could signal an attempt to exert political control over the Fed. Markets reacted positively, with gold prices falling amid relief at Warsh being seen as a safe, pragmatic choice.
