President Donald Trump is betting that his Federal Reserve chair nominee, Kevin Warsh, can win over enough senators from both parties to secure confirmation—even if some Republicans have cold feet.
Speaking with reporters aboard Air Force One on Saturday, Trump described Warsh, a Stanford graduate and former Fed insider, as a "high-quality person" who should sail through the confirmation process. The president announced Warsh's nomination on Friday, calling him someone with the experience, independence, and credibility to become "one of the Great Fed Chairmen, maybe the best."
The Republican Wrinkle
Not everyone in Trump's own party is on board just yet. Sen. Thom Tillis (R-NC.) has raised eyebrows over an ongoing Justice Department investigation into current Fed Chair Jerome Powell. "Protecting the independence of the Federal Reserve from political interference or legal intimidation is non-negotiable," Tillis wrote in a Friday post on X.
Trump brushed off concerns about losing Tillis's vote, saying Warsh could still get confirmed by attracting Democratic support. He didn't specify which Democrats might cross the aisle, but clearly he's not sweating the math.
What About Interest Rates?
If confirmed, Warsh will replace Powell when his term as chair ends in May, though Powell remains one of the seven Fed governors through 2028. Warsh's confirmation could mark a turning point for the central bank, especially given Trump's vocal push for substantial interest rate cuts to juice the economy.
But when reporters pressed Trump on what he expects Warsh to do with rates, he offered a revealing answer: "He's going to lower them. I mean, if you watch him on television, you know, because I watch interviews and statements. I hope he's going to lower them, but he's going to have to do what he wants to do."
Asked if Warsh had made any commitments on policy, Trump said no. He added that he could have requested them but chose not to—a statement that might reassure senators worried about Fed independence, or at least give them cover to vote yes.
