Kevin Warsh wins Senate confirmation as the next chairman of the Federal Reserve
Kevin Warsh was confirmed Wednesday as the next chairman of the Federal Reserve, taking over the central bank at a time when President Donald Trump is seeking to lower interest rates as new inflation data complicates cuts.
In a highly divisive vote, the Fed chairman, Warsh, 56, received confirmation that he will take over from Jerome Powell, who has served in the top leadership position since 2018 and whose term will expire on Friday.
The Senate voted 54-45 to confirm Warsh, ending a saga that began in the summer of 2025 and launching an extensive search for Powell’s replacement. The vote was almost entirely along party lines, with only Pennsylvania Democrat Sen. John Fetterman crossing over to vote for Warsh, who became the 11th Fed chairman of the modern banking era.
Powell will remain at the Fed as he has two years left in his term as governor. He said last month that he would stay at least until the investigation was completed at Fed headquarters. No other Fed chairman has returned to the board in nearly 80 years.
Trump has made no secret that he expects Warsh to cut rates after repeatedly criticizing Powell for monetary policy the president has deemed too restrictive. Warsh was part of a derby that involved nearly a dozen people at one time, including current governors Christopher Waller and Michelle Bowman.
The confirmation comes, however, following separate reports this week showing inflation above the Fed’s 2% target and pipeline pressures accelerating to their highest levels in more than three years. Markets have been pushing back on expectations of rate cuts and even rates on the off chance of a hike later this year.
Rep. French Hill, R-Ark., praised the Fed’s decision and Warsh’s anti-inflation credentials.
“Chairman Warsh has repeatedly emphasized the importance of putting affordability and price stability at the center of our economic agenda,” Hill said in a statement. “His commitment to sound fiscal policy will help restore confidence in our economy and support long-term prosperity.”
Warsh could not be reached for comment.
This will be Warsh’s second position at the Fed.
During his first run, he served from 2006-11, a period when Fed officials began to dismiss the risks of the subprime mortgage meltdown that led to the global financial crisis, and then implemented a set of policies aimed at rescuing the economy. Part of that rescue effort included an unprecedented expansion of asset purchases that sent the Fed’s balance sheet past $4 trillion, a program known as quantitative easing that Warsh said at the time had gone too far.
Since leaving the Fed, Warsh has been a frequent critic of monetary policy and last year, in a CNBC interview, called for “regime change” at the central bank. During that time, he was a lecturer at the Stanford School of Business and served on various boards of directors.
Warsh replaces Stephen Miran on the Fed’s board, who was appointed governor in September 2025 to fill the few months remaining in the indefinite term of Adriana Kugler, who resigned unexpectedly in August.
Miran has abstained from every vote of the Federal Open Market Committee since taking the seat. When the committee voted to cut it by half at each of the last three meetings through 2025, Miran voiced support for a larger cut. This year, he opposed votes to keep the federal funds rate steady, opposing a quarterly reduction.
Warsh’s first meeting as FOMC chairman is scheduled for June 16-17.
He will also become the richest Fed chairman ever, with a net worth north of $100 million. As Fed chairman, he will have to divest himself of most of his investments under a tough new policy put in place since questionable trading practices among top officials were exposed.
-Rep. French Hill is from Arkansas. The previous version did not specify the condition correctly.
