economy
Kevin Warsh sworn in as Fed chair as Trump seeks interest rate cuts
Despite President Donald Trump's demands for lower interest rates, markets are betting the Fed will stay on hold through most, if not all, of 2026.
TL;DR
- Kevin Warsh was sworn in as the new chair of the Federal Reserve at the White House.
- President Trump has repeatedly expressed a desire for lower interest rates.
- Warsh stated his commitment to independence and leading a reform-oriented Federal Reserve.
- Jerome Powell, the former Fed chair targeted by Trump's criticism, will continue as a Fed governor.
- Warsh previously served as a Fed governor from 2006 to 2011 and has expressed criticism of the Fed's past policies.
- Market expectations do not align with Trump's desire for immediate rate cuts, predicting a hold through most of 2026.
- The ceremony was attended by notable figures including Supreme Court Justices Clarence Thomas and Brett Kavanaugh, and House Speaker Mike Johnson.