WASHINGTON DC - U.S. President Donald Trump on Friday announced he is nominating Kevin M. Warsh to serve as the next chair of the Federal Reserve, to replace Jerome Powell, whose terms as chair ends in May.
"I am pleased to announce that I am nominating Kevin Warsh to be the Chairman of the Board of Governors of the Federal Reserve System, the president said on his social media platform Truth Social on Friday. "Kevin currently serves as the Shepard Family Distinguished Visiting Fellow in Economics at the Hoover Institution, and Lecturer at the Stanford Graduate School of Business. He is a Partner of Stanley Druckenmiller at Duquesne Family Office LLC," Mr Trump said.
"Kevin received his A.B. from Stanford University, and J.D. from Harvard Law School. He has conducted extensive research in the field of Economics and Finance. Kevin issued an Independent Report to the Bank of England proposing reforms in the conduct of Monetary Policy in the United Kingdom. Parliament adopted the Report's recommendations."
"Kevin Warsh became the youngest Fed Governor, ever, at 35, and served as a Member of the Board of Governors of the Federal Reserve System from 2006 until 2011, as the Federal Reserve's Representative to the Group of Twenty (G-20), and as the Board's Emissary to the Emerging and Advanced Economies in Asia," Trump posted.
The nomination has been well received in financial markets with the U.S. dollar rising and gold falling. Warsh is expected to be more independent, and less dovish, that other candidates under consideration by President Trump.
"I have known Kevin for a long period of time, and have no doubt that he will go down as one of the GREAT Fed Chairmen, maybe the best. On top of everything else, he is "central casting," and he will never let you down,"the presidential post on Truth Social said.
It appeared that many commentators in the media share the president's view. "He has the respect and credibility of the financial markets," David Bahnsen, chief investment officer of The Bahnsen Group told CNBC Friday.
"There was no person who was going to get this job who wasn't going to be cutting rates in the short term. However, I believe longer term he will be a credible candidate," Bahnsen said..
The news was also greeted with open arms internationally. "Kevin Warsh is a fantastic choice to lead the world's most important central bank at this crucial time," Canadian Prime Minister Mark Carney posted on X on Friday.
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