Senator Fetterman Breaks Ranks as Senate Confirms Kevin Warsh as Fed Chair

Just one Democrat joined Republicans on Wednesday to confirm Kevin Warsh as the next chair of the Federal Reserve, granting President Donald Trump full control over U.S. monetary policy.

The final vote was 54-45, with most senators voting along party lines. Only Senator John Fetterman broke ranks to support Warsh’s confirmation.

Who Is Kevin Warsh?

Warsh, a former Federal Reserve governor and White House economic advisor, is the wealthiest person ever to lead the central bank. His estimated net worth exceeds $50 million, according to financial disclosures.

During his confirmation hearings last month, Warsh pledged to uphold the Fed’s independence, stating:

“I would take my responsibility to be an independent leader of the Federal Reserve very seriously.”

He also claimed that Trump had never asked him to influence interest-rate decisions:

“[Trump] never asked me to predetermine, commit, fix, decide on any interest rate decision in any of our discussions, nor would I ever agree to do so.”

Allegations of Prearranged Rate Cuts

However, Trump contradicted Warsh’s testimony in a December interview with The Wall Street Journal. The president admitted he had pressed Warsh on whether he could be trusted to support interest-rate cuts if appointed.

During a confirmation hearing, Senator Ruben Gallego confronted Warsh about these allegations. Warsh responded by criticizing journalistic standards, further fueling concerns about his independence.

Trump’s Push for Lower Interest Rates

Trump has repeatedly demanded that the Fed lower interest rates to boost economic growth ahead of the midterm elections. He has criticized outgoing Chair Jerome Powell for refusing to comply, calling for more aggressive cuts.

The president has shown little tolerance for dissent, pressuring appointees—including conservative Supreme Court justices—to align with his agenda.

What This Means for the Fed’s Independence

The confirmation of Warsh, a Trump ally, marks a significant shift in the Federal Reserve’s autonomy. Critics argue that his appointment undermines the central bank’s ability to operate without political interference.