Analysis: Kevin Warsh Moves One Step Closer to Becoming Federal Reserve Chair, Likely to Receive Full Senate Confirmation Before Powell's Term Ends

Odaily reported that Kevin Warsh, President Trump's nominee for the next Federal Reserve Chair, received a 13-to-11 vote in support from the Senate Banking Committee, paving the way for full Senate confirmation before Chair Powell's term ends on May 15. The nomination will now proceed to a full floor vote in the Senate. Warsh's nomination had previously been blocked by Republican Senator Tom Tillis until the Department of Justice agreed last week to temporarily suspend a criminal investigation into cost overruns for a renovation project at the Fed's Washington headquarters. This vote makes the prospect of the most significant overhaul of the U.S. central bank in years under Warsh's leadership a reality. While vying for Trump's nomination, Warsh raised the prospect of a "regime change," promising to shrink the Fed's $6.7 trillion balance sheet, establish a new inflation management framework, and change the way the central bank communicates with the public. However, he has provided few details on how he would achieve these goals. (Jinshi)