Fed nominee Warsh to back independence on interest rates

Kevin Warsh, President Donald Trump's nominee to succeed Jerome Powell as Federal Reserve chairman, plans to tell Congress he supports maintaining the independence of the Federal Reserve on monetary policy as the president ramps up his criticism of Powell's hesitance to lower interest rates.

“I am committed to ensuring that the conduct of monetary policy remains strictly independent," he plans to tell Congress, according to Politico, which obtained a copy of his prepared remarks. "I am equally committed to working with the Administration and Congress on non-monetary matters that are part of the Fed’s remit. And I commit to accountability in all the Fed’s functions.”

Warsh is set to appear for a Tuesday confirmation hearing. His nomination comes as Trump continues to criticize the Fed for its hesitance to lower rates, dubbing current Chairman Jerome Powell as "too late" Powell. Warsh, for his part, plans to address Trump's comments.

“I do not believe the operational independence of monetary policy is particularly threatened when elected officials — presidents, senators, or members of the House — state their views on interest rates,” he plans to say.

Ben Whedon is the Chief Political Correspondent at Just the News. Follow him on X.