US President Donald Trump named the successor to Jerome Powell on Friday. Kevin Warsh is now set to be the new Federal Reserve chair. POTUS took to Truth Social to announce his decision in his signature flamboyant style –
‘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’ he posted.
After elaborating Kevin’s achievements Trump stated, “On top of everything else, he is “central casting,” and he will never let you down”. He also predicted, Warsh is poised to be “one of the GREAT Fed Chairmen, maybe the best.”
Earlier, sources told Reuters that the former Fed governor had also visited the White House on Thursday for a meeting with Trump. The POTUS was reportedly ‘impressed’ by Warsh during the discussion — but there has been no official update from the White House. Those briefed about the discussion reiterated to Bloomberg that nothing was final until the often contrarian Trump announced his pick.
Who is Kevin Warsh?
Kevin was the youngest-ever Federal Reserve Governor appointed at just 35, having served on its Board during the turbulent financial crisis years from 2006 to 2011.
He has aligned himself with Trump in recent months by arguing for lower interest rates. Warsh served on the US central bank’s Board of Governors from 2006 to 2011. He had previously advised Trump on economic policy and almost secured a Fed nomination from the POTUS during his first term.
Warsh has called for regime change at the central bank and wants a smaller Fed balance sheet — a goal seemingly at odds with Trump’s preference for looser monetary policy.
Trump shared his resume which includes bridging the divide between Washington policy, Wall Street dealmaking, and Ivy League academia. He is currently the Shepard Family Distinguished Visiting Fellow at the Hoover Institution and a lecturer at Stanford GSB. Warsh also keeps a foot in the markets as a partner to legendary investor Stanley Druckenmiller at the Duquesne Family Office.
Warsh’s background includes a tenure as a Vice President in Morgan Stanley’s Mergers & Acquisitions department and a stint in the White House as Special Assistant to the President for Economic Policy (2002–2006). His influence extends across the Atlantic, where his independent report on monetary policy reforms was famously adopted by the UK Parliament for the Bank of England.
Now, returning as Chairman, he brings a rare combination of administrative grit—having once managed the Fed’s entire HR and financial operations—and global diplomatic experience as the Fed’s former G-20 representative.
Trump vs Powell continues
Trump has made it clear on countless occasions that he wanted the Fed to cut interest rates deeply — escalating pressure on Powell and making it almost mandatory for any successor to share his inclination. The POTUS also launched into a lengthy diatribe against Powell on Thursday as he reiterated demands for interest rates to be cut “substantially” and resorted to name calling.
“Jerome ‘Too Late’ Powell again refused to cut interest rates, even though he has absolutely no reason to keep them so high. He is hurting our Country, and its National Security. We should have a substantially lower rate now that even this moron admits inflation is no longer a problem or threat. He is costing America Hundreds of Billions of Dollar a year in totally unnecessary and uncalled for INTEREST EXPENSE,” began a massive Truth Social post.
Trump insisted that the US “should be paying the lowest interest rate of any country in the world” — citing the “vast amounts of money flowing into the country because of tariffs”.
” I have been very nice, kind, and gentle to countries all over the World. With a mere flip of the pen, $BILLIONS more would come into the U.S.A., and these countries would have to go back to making money the old fashioned way, not on the back of America. I hope they all appreciate, although many don’t, what our great Country has done for them. The Fed should substantially lower interest rates, NOW! Tariffs have made America strong and powerful again, far stronger and more powerful than any other Nation. Commensurate with this strength, both financial and otherwise, WE SHOULD BE PAYING LOWER INTEREST RATES THAN ANY OTHER COUNTRY IN THE WORLD!” he concluded.