Federal Reserve chair nominee Kevin Warsh testifies at Senate confirmation hearing — 4/21/2026

Summary

The Senate Banking Committee holds a confirmation hearing for Kevin Warsh, President Trump's nominee for Federal Reserve Chair. The hearing centers on Warsh's ethics disclosures, his commitment to Fed independence, and his policy views on inflation, AI, and the Fed's balance sheet. Democrats question his past record and potential political influence, while Republicans praise his experience and support his nomination. Warsh outlines a reform agenda focusing on interest rates over balance sheet tools, a new inflation framework, and careful monitoring of AI's economic impact.

• Kevin Warsh testifies before the Senate Banking Committee on his nomination as Fed Chair.
• Democrats raise concerns about Warsh's ethics, independence, and past policy positions during the 2008 financial crisis.
• Republicans highlight Warsh's experience and support his commitment to Fed independence and reform.
• Warsh emphasizes the need for a policy regime change, preferring interest rates over balance sheet tools.
• AI is discussed extensively as a potential productivity booster and disinflationary force, with uncertain labor market effects.
• Warsh commits to divesting his financial assets and staying within the Fed's mandate, avoiding climate and social policy.
• The hearing touches on digital assets, China's financial rivalry, and the need for payment system modernization.
• Partisan tensions surface over investigations into current Fed Chair Powell and Governor Cook, and over Trump's influence on rates.