Once doomed, Trump's pick to carry out his economic vision clears first crucial hurdle
President Donald Trump's next pick to lead the nation’s central bank is one step closer to securing the job, despite early fears that his nomination was doomed. The Senate, in...
By Fox News · Fox News
President Donald Trump's next pick to lead the nation’s central bank is one step closer to securing the job, despite early fears that his nomination was doomed. The Senate, in a test vote, confirmed Kevin Warsh to be on the Federal Reserve’s Board of Governors, the main governing body of the central bank, and a post he previously served on nearly two decades ago. The institution dictates monetary policy for the nation and has been a thorn in Trump’s side throughout his second term. Tuesday’s successful test vote was the first step in Republicans’ quest to confirm Warsh as the next chair of the Federal Reserve. And it comes as current Chair Jerome Powell’s term at the helm comes to a close on May 15. SENATE WEIGHS NEW, PAINFUL LEVERAGE TACTIC AS FEARS OF ANOTHER GOVERNMENT SHUTDOWN GROW The Senate is expected to wrap up confirmation of Warsh on Wednesday. It’s a far quieter ending to a process that for months was marred by high-stakes drama, legal disputes and speculation about whether Trump’s handpicked successor to Powell could actually survive the process. That’s because until recently, Sen. Thom Tillis, R-N.C., vowed to block any replacement pick unless the Department of Justice dropped its criminal probe against Powell. FRAGILE RELATIONSHIP WITH HOUSE GOP HAS SENATE REPUBLICANS WARNING 'SOMETHING NEEDS TO CHANGE' That probe, which ended late last month amid pressure from top Senate Republicans, was related to alleged mismanagement of renovation funds for updates of the Federal Reserve’s headquarters in Washington, D.C., and played out despite Powell’s anticipated exit this month. Speculation swirled about whether the probe was launched as a retaliatory effort against Powell, who refused to adhere to Trump’s desires to sharply lower interest rates as the central bank navigates inflation and new economic pressures from the war in Iran. Though Powell’s time in the spotlight as chair of the Federal Reserve is soon coming to a close, he’s not going anywhere. He told…