Senate Confirms Warsh as Fed Chair in Narrowest Vote Ever

WASHINGTON (Day.News) — The Senate voted 54-45 on Wednesday to confirm Kevin Warsh as chairman of the Federal Reserve, handing President Trump a key win after months of tension with outgoing chair Jerome Powell. The vote, largely along party lines, saw just one Democrat, Sen. John Fetterman of Pennsylvania, join Republicans in support. New York Sen. Kirsten Gillibrand did not vote. Warsh's four-year term as chair begins Friday, May 15, 2026, following Powell's expiration. Warsh, 56, was separately confirmed Tuesday as a Federal Reserve Board of Governors member in a 51-45 vote for a term ending in 2040, replacing Stephen Miran, a rate-cut advocate who had filled in for Adriana Kugler. A former Fed governor from 2006 to 2011, Warsh steps into the role amid intensifying inflation that complicates Trump's demands for aggressive rate reductions. During confirmation hearings, Warsh rejected Sen. Elizabeth Warren's accusations of being a Trump "sock puppet," pledging to safeguard the central bank's independence. The nomination faced hurdles, including a Republican hold by Sen. Thom Tillis of North Carolina over a Justice Department probe into Powell tied to a Fed renovation project. Tillis lifted his block after the investigation closed in April, clearing the path. Powell, whose governor term runs to January 2028, plans to stay on the board. Markets eye Warsh's tenure warily as inflation pressures mount, potentially thwarting rate cuts Trump has long pushed. The confirmation marks the most divisive Fed chair vote in U.S. history, per records, underscoring deep partisan rifts over monetary policy at a pivotal economic moment.