Kevin Warsh, President Trump’s nominee to succeed Fed Chair Jerome Powell, promised to preserve the central bank’s independence amid political pressure over interest rates.
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Forget margin or options. Here's how the pros trade QQQ“I believe that monetary policy independence is earned — and better policy decisions crafted — by steering clear of distractions,” Warsh said at his confirmation hearing on Tuesday. “I am committed to ensuring that the conduct of monetary policy remains strictly independent.”
Fed Independence Faces Pressure as Chair Leadership Transition Nears
The Fed’s independence has been tested in recent months, with Trump urging the central bank to lower interest rates and attempting to fire Fed Governor Lisa Cook for alleged mortgage fraud.
Powell’s term is set to expire next month, although an ongoing investigation into the Fed’s billion-dollar renovation of its Washington, D.C., headquarters has complicated the process. Senator Thom Tillis has said he would seek to block Warsh’s nomination from advancing out of committee until the investigation is resolved, while other senators have called for a delay in the confirmation process.