The U.S. Senate on Tuesday confirmed Kevin Warsh to the Federal Reserve Board of Governors in a 51-45 vote, advancing his nomination as part of President Donald Trump’s effort to replace outgoing Fed Chair Jerome Powell. The confirmation grants Warsh a 14-year term on the board, replacing Stephen Miran, whose term ended in January but remained in the seat until Warsh’s confirmation. The Senate is expected to hold a separate vote later this week to confirm Warsh as Fed chair, with Powell’s four-year term ending Friday.
Senate vote details and partisan split
The confirmation vote fell largely along party lines, with Sen. John Fetterman (D-Pa.) as the sole Democrat supporting Warsh’s nomination. All Republican senators voted in favor. Warsh’s confirmation comes after months of uncertainty, including a criminal probe into Powell related to alleged mismanagement of renovation funds for the Federal Reserve’s headquarters, which the Department of Justice dropped in late April. Republican Sen. Thom Tillis (R-N.C.) had previously blocked Warsh’s nomination until the probe was resolved.
Next steps for Warsh’s Fed leadership bid
Assuming confirmation as chair, Warsh—who previously served on the Fed board from 2006 to 2011—will take over Powell’s role at a time of economic uncertainty. Inflation has risen to its highest level in nearly three years, partly driven by geopolitical tensions, including the war in Iran and tariffs imposed by the Trump administration last year. Warsh has previously called for a "regime change" at the Fed and suggested interest rates could be lower, though markets currently expect the central bank to maintain its benchmark rate at the next meeting on June 16-17. Powell, whose term as chair ends Friday, has indicated he will remain on the board until the renovation probe concludes, with his governor term not set to expire until January 2028.
Background on Warsh’s nomination and Fed dynamics
Warsh’s confirmation follows a contentious nomination process marked by legal disputes and political maneuvering. His critics, including some Democrats, have raised concerns about his independence from the Trump administration, given Trump’s public criticism of Powell for not lowering interest rates. Warsh has emphasized the Fed’s independence during his confirmation hearings. Meanwhile, Powell’s decision to stay on the board beyond his chairmanship has limited Trump’s ability to appoint additional Fed governors, as only one seat is currently vacant for the remainder of Trump’s term. Warsh’s net worth exceeds $100 million, and he previously worked as a fellow at the Hoover Institution and an adviser to billionaire investor Stanley Druckenmiller. His prior tenure on the Fed was marked by a hawkish stance on inflation, though he has recently signaled openness to rate cuts.