US President Donald Trump’s pick for top slot at the Federal Reserve, Stephen Miran, on Thursday announced that if he’s ‘confirmed to the role’, then he would act independently, just as Federal Reserve always does. Several Democrats dismissed his pledge as ‘not credible’, reported Bloomberg. They pointed out that Trump himself has said he expects to soon control most of the Fed board, which would support his push for lower interest rates.
Who is Stephen Miran?
Stephen Ira Miran is an American economist who has been serving as the chair of the Council of Economic Advisers since 2025, and he is Trump‘s top pick for a vacant seat on the Federal Reserve Board.
In a 2024 paper, he had argued that the frequent movement of officials between the White House and the Federal Reserve creates problems. He said this back-and-forth can encourage decisions that serve the president’s short-term political goals. To prevent this, he suggested that Fed board members should not be allowed to take executive branch jobs for at least four years after their term ends.
However, Miran has not agreed to hold himself to this rule, which the Democrats have taken note of. So far, Republicans have not raised objections to him.
Democrats also raised concerns about a possible conflict of interest. They noted that Miran chose not to step down as head of the White House Council of Economic Advisers. Instead, he only took an unpaid leave while working at the Fed. This temporary role is to complete the rest of Adriana Kugler’s term, who left her position earlier than expected.
What happened at the Senate Bank hearing?
Miran faced many questions from the lawmakers on Thursday about whether he would make interest rate decisions without pressure from the US President. They used the hearing to highlight Miran’s promise to stay neutral, while Democrats showed doubt.
The Senate Banking Committee held the hearing at a time when Trump is pushing harder to influence the central bank, even trying to remove a sitting Fed governor. Experts say the Fed needs independence from politics to manage inflation properly.