Recent developments suggest that President Trump is poised to nominate Kevin Warsh as the next Chairman of the Federal Reserve, a move anticipated by many observers. According to Bloomberg News, Trump is expected to make the formal announcement on Friday morning. Speaking from the red carpet at the “Melania” premiere at the Trump Kennedy Center, he confirmed, “I’ll be announcing the Fed Chair tomorrow morning.” This straightforward declaration has set the stage for a significant shift in the leadership of the central bank.
The New York Post corroborates this information, stating that Trump will nominate Warsh, a former Federal Reserve governor and current professor at Stanford University, to replace Jerome Powell. The decision follows a meeting between Trump and Warsh, after which Trump reportedly offered him the position, which Warsh accepted. This quick series of events highlights the close and dynamic nature of these high-stakes decisions.
Adding further intrigue to the nomination process, Rick Reider, a senior executive at BlackRock, was considered a strong contender but learned on Thursday that he would not be chosen for the role. Meanwhile, other candidates like National Economic Council director Kevin Hassett and Federal Reserve Governor Christopher Waller have been moved to the sidelines, indicating a narrowing field as the nomination approaches.
Trump’s unfiltered criticism of Powell’s leadership has been a consistent theme. Following the Fed’s recent announcement to freeze interest rates, Trump lashed out, labeling Powell a “moron” on Truth Social. He expressed frustration at Powell’s reluctance to cut rates, stating, “Jerome ‘Too Late’ Powell again refused to cut interest rates, even though he has absolutely no reason to keep them so high.” The president argued that inflation is no longer a pressing issue, which further fueled his belief that interest rates should be significantly lower. In 2025, the Federal Reserve had already cut rates by 75 basis points in an effort to adapt to economic conditions.
These developments point to a turning point for the Federal Reserve’s policies as Trump prepares to install Warsh, someone who may take a different approach than Powell. The move signifies not just a potential change in personnel but could also herald a shift in the central bank’s direction regarding interest rates amid economic recovery.
As the financial community awaits the official announcement, it’s clear that Warsh’s nomination has significant implications for the future of monetary policy in the United States. Trump’s dissatisfaction with Powell suggests a potential overhaul in strategy, aligned more closely with his own economic views. This change might reshape both market expectations and the broader economic landscape as Warsh steps into the influential role once he is confirmed.
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