Fed Chair Nominee Kevin Warsh Clears Senate Banking Committee After Sen. Tillis Drops Opposition

Kevin Warsh, President Trump’s nominee to chair the Federal Reserve, advanced out of the Senate Banking Committee today on a party line 13-11 vote, putting him on a clear path toward confirmation by the full Senate.

A major obstacle fell away when Sen. Thom Tillis (R-N.C.) reversed his earlier opposition after the Department of Justice formally dropped its investigation into current Fed Chair Jerome Powell over statements tied to Federal Reserve headquarters renovations. Tillis had previously argued that the probe raised concerns about political interference with Fed independence, but said he now has confidence that the matter is effectively closed.

Warsh, a former Fed governor, is expected to secure unified Republican backing on the Senate floor, while Democrats remain broadly opposed, framing his nomination as part of a wider Trump administration effort to pressure the central bank to lower rates.

The confirmation fight has centered less on Warsh’s credentials than on questions of Federal Reserve independence. Warsh has pledged to act independently on monetary policy, though he has also signaled support for a more restrained Fed, including shrinking the central bank’s balance sheet, limiting forward guidance, and reassessing how the institution interprets economic data.

With Powell’s term as chair ending in mid-May, Warsh’s likely confirmation would mark a significant leadership transition at the central bank at a time when inflation, geopolitical instability, and White House pressure over rate cuts remain central challenges.