Trump Picks New Fed Chair to Cool Inflation

President Donald Trump will officially install Kevin Warsh as the next chair of the Federal Reserve on Friday at the White House. Warsh, who is 56 years old, was approved by Congress in a vote that almost split along party lines on May 13. He will replace Jerome Powell, who will stay on the board until 2028 but step down from the top job. Trump chose Warsh because he wants a leader who will keep interest rates low and shrink the Fed’s balance sheet.Warsh has spoken many times about lowering borrowing costs for businesses and households. The new chair will take over as Fed officials consider raising rates to curb inflation that has risen after the U. S. war in Iran. During a recent meeting, most policymakers said that tightening policy might be needed if inflation stays above the 2 percent goal. Warsh will serve a four‑year term as chair and a fourteen‑year term on the Fed board. His leadership will shape U. S. monetary policy for years to come.