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Senate confirms Kevin Warsh as Fed governor, clearing path to become chair

Senate confirms Kevin Warsh as Fed governor, clearing path to become chair

Summary

The Senate confirmed Kevin Warsh as a Federal Reserve governor with a 51-45 vote, moving him closer to becoming the Fed's chair. President Trump supports Warsh to replace Jerome Powell as the central bank's leader, and a separate vote on Warsh's chairmanship is expected soon.

Key Facts

  • Kevin Warsh was confirmed by the Senate to a 14-year term as a Fed governor.
  • A separate Senate vote will decide if Warsh becomes chair of the Federal Reserve.
  • Warsh would replace Jerome Powell, whose term as Fed chair ends soon.
  • Warsh previously served as a Fed governor during the global financial crisis.
  • He has criticized some Fed policies and indicated he may support lowering interest rates.
  • President Trump has pushed for Fed rate cuts and criticized Powell’s approach.
  • Senate Republicans delayed Fed confirmations due to a criminal probe of Powell, but the investigation is expected to end.
  • Warsh promised to keep the Fed’s interest rate decisions independent of political influence.
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