Kevin Warsh wins in 54-45 Senate vote to replace Jerome Powell as Federal Reserve Chair

The US Senate on Wednesday (local time) confirmed Kevin Warsh as the new Federal Reserve Chair. He will lead the central bank at a time when President Donald Trump is pushing for lower interest rates, even as fresh inflation data complicates the case for rate cuts.In what is described as the most divisive vote ever for a Federal Reserve chair, Warsh, 56, was confirmed to replace Jerome Powell, who has held the top leadership position since 2018 and whose term will expire on Friday.The Senate voted 54-45 to confirm Warsh’s appointment, putting an end to a months-long saga that began in the summer of 2025 and included an extensive search for Powell’s successor. The vote was largely along party lines, with only Pennsylvania Democratic Senator John Fetterman crossing over to support Warsh, who will become the 11th Federal Reserve chair of the modern banking era.Here’s all you need to know about the next Federal Reserve Chair:This will be Warsh’s second stint at the central bank. He was previously sworn in as a member of the Board of Governors of the Federal Reserve System on February 24, 2006, and he left the Board in March 2011.Kevin Warsh was born in Albany, New York. He studied public policy at Stanford University, focusing on economics and statistics, and earned his bachelor’s degree with honours in 1992. He later attended Harvard Law School, where he concentrated on the intersection of law, economics, and regulatory policy, receiving his law degree in 1995. He also took additional coursework in market economics and debt capital markets at Harvard Business School and MIT’s Sloan School of Management.After graduating from law school, Warsh joined Morgan Stanley & Co. in New York in 1995, working in the mergers and acquisitions division. During his time there, he advised companies across sectors, including manufacturing, basic materials, professional services, and technology, and was involved in structuring capital markets deals as well as arranging equity and fixed-income financing. He left Morgan Stanley in 2002 as vice president and executive director.He then joined the administration of former US President George W. Bush, serving as a special assistant to the president for economic policy and as executive secretary of the National Economic Council. In these roles, he advised senior officials on economic issues, including capital markets, banking, securities, and insurance, and was a member of the President’s Working Group on Financial Markets.In 2006, Bush nominated Warsh to the Board of Governors of the Federal Reserve. He served a five-year term, representing the Board at the G20 and engaging with both emerging and advanced economies in Asia. He also oversaw administrative responsibilities at the Board, including operations, personnel, and financial management. During this period, he delivered several notable speeches on the financial crisis of 2007–09, including “The End of History?”, “The Federal Funds Rate in Extraordinary Times,” and “Rejecting the Requiem.”Warsh is currently a distinguished visiting fellow at Stanford University’s Hoover Institution and a lecturer at its Graduate School of Business. He also advises several companies and serves on the board of directors of United Parcel Service.Warsh to be the wealthiest Fed chair everAccording to a CNBC report, Warsh will be the wealthiest Fed chair ever, with holdings worth well over $100 million. As Fed chair, he will be required to divest many of his investments under a strict new policy introduced following disclosures of questionable trading practices among senior officials.His financial disclosures have revealed that Warsh and his wife, Jane Lauder, have approximately $192 million in assets, with the possibility that the total could be even higher. Assets held in his name alone are estimated to range between about $135 million and $226 million.Nominees are required to report their holdings to the Senate in broad value ranges. Warsh’s filings include two funds va