Trump nominates Kevin Warsh as Fed chair

​President Donald Trump ​on Wednesday sent the U.S. Senate his nomination ​of former Federal Reserve governor Kevin Warsh to be the U.S. central bank's next chair, ticking off an early step in what ‌promises to ⁠be ⁠a contentious path toward his long-held goal of installing a rate-cut ​friendly Fed chief. Warsh, who would take over from Jerome Powell after ​his leadership term ends May 15, would serve a four-year-term that began February 1, according to a notice on ​the White House website. That's the ⁠seat currently ‌occupied by Fed Governor Stephen Miran, another ​rate-cut advocate ​whom Trump nominated in September.The next public ⁠step in the process is a hearing ​by the Senate Banking committee; a spokesman for ​the panel did not immediately respond to a request for information on the timing.One of the committee's members, Republican Senator Thom Tillis, has promised to block any Fed nomination as long as a Department of ‌Justice investigation into Powell regarding his testimony to the panel about central bank building renovations in ​Washington remains ​open. Tillis says ⁠the probe is frivolous and amounts to intimidation by the Trump administration, which is frustrated with Powell for not cutting interest ​rates as quickly or deeply as it would like.The Fed's insulation from short-term political considerations is widely considered essential to its ability to keep inflation under control and steer the economy to a healthy footing.

from Economic Times https://ift.tt/cGX6jhs