The U.S. Senate Banking Committee is preparing to hold a hearing on Kevin Warsh’s nomination for Federal Reserve chair as early as the week of April 13. The date is not final. According to Punchbowl News, citing two people familiar with the matter, the timing still depends on whether Warsh completes all required filings with the committee.
Warsh pushes for changes to rate policy and balance sheet management
Warsh, now 55, is not new to the Fed. He served as a Federal Reserve governor from 2006 to 2011 after being nominated by former President George W. Bush. President Trump formally nominated him for the top Fed post on March 4.
His policy stance is direct. Warsh has argued for a structural “regime change” in how the Fed handles interest-rate decisions and manages its balance sheet. In a July interview on CNBC’s Squawk Box, he criticized the central bank for waiting too long to cut rates, saying its hesitation reflected the lingering effects of past inflation mistakes and helped explain why the president had been publicly pressuring the Fed.
Nomination faces pressure from both parties
Even if the hearing goes ahead, the confirmation path remains difficult. Republican Senator Thom Tillis has said he will not vote on any Fed nominee until the Justice Department finishes its investigation involving Powell, and he plans to block Warsh’s nomination process. That investigation began in January and centers on spending tied to renovations of Fed office space during Powell’s tenure.
On the Democratic side, Senator Elizabeth Warren has attacked Warsh from a different angle. In a letter to him, she said he had learned “nothing” from the 2008 financial crisis and argued that he would act as a “rubber stamp” for Trump’s Wall Street-first agenda. She also pointed to Warsh’s seven years in Morgan Stanley’s mergers and acquisitions division before he joined the Bush administration, raising questions about his alignment with financial industry interests.
May 15 creates a quiet deadline for the confirmation process
Powell’s term is set to expire on May 15, adding pressure to the Senate timeline. Powell has already said he will remain in the role until a successor is formally confirmed. If Warsh fails to secure enough votes after the hearing, the Fed could enter an awkward interim period with Powell staying on. If Tillis maintains his blockade, the process could slip into the summer.
As of mid-March, Semafor reported that the Senate was still waiting for Warsh to submit his full paperwork. CNBC also reported that he continued meeting with senators, while Tillis showed no sign of backing away. Crypto markets are watching the nomination closely, with attention on Warsh’s rate-cutting lean and on how his views about reshaping Fed policy could alter expectations around monetary policy.