Senate confirms Kevin Warsh as Fed governor, clearing path to replace Powell as chair
CBS News • • business
Key Points:
- The Senate confirmed Kevin Warsh to a 14-year term on the Federal Reserve's Board of Governors by a 51-45 vote, a key step toward his potential appointment as Fed chair, replacing Jerome Powell.
- A separate Senate vote to confirm Warsh as Fed chair is expected later this week; Warsh has pledged to maintain the Fed's independence in setting interest rates.
- Warsh previously served as a Fed governor during the financial crisis and has been critical of the Fed's policies, signaling openness to lowering interest rates despite a prior hawkish stance.
- The confirmation process faced delays due to a criminal probe involving Powell, but the investigation was closed with the Fed's Inspector General assigned to review the matter.
- Powell will remain on the Fed board as a regular governor after his chairmanship ends, marking the first time in over 75 years an outgoing chair has stayed on the board.