Warsh’s nomination looks like a shift to:
a leaner, more disciplined Fed
less automatic support for big deficits
more tension between market expectations and political pressure
Warsh’s nomination looks like a shift to:
a leaner, more disciplined Fed
less automatic support for big deficits
more tension between market expectations and political pressure
Warsh is big on Fed independence—he doesn’t want the central bank to become a tool for cheap government borrowing.
But he’s also floated a “new Treasury–Fed Accord”, inspired by a 1951 deal that helped the Fed break free from direct Treasury control after WWII.
Warsh is big on Fed independence—he doesn’t want the central bank to become a tool for cheap government borrowing.
But he’s also floated a “new Treasury–Fed Accord”, inspired by a 1951 deal that helped the Fed break free from direct Treasury control after WWII.
The Fed’s balance sheet is ~$6.6T. Warsh wants it smaller over time.
Translation: move money from pure financial speculation back into the real economy—factories, jobs, business investment.
That probably means:
higher real rates
fewer asset bubbles
The Fed’s balance sheet is ~$6.6T. Warsh wants it smaller over time.
Translation: move money from pure financial speculation back into the real economy—factories, jobs, business investment.
That probably means:
higher real rates
fewer asset bubbles
Sees Bitcoin as digital gold, a real store of value
Calls most other coins “software, not money”
Likely to push for clearer rules + stricter oversight
Could slow down some pro-crypto bills if they clash with Fed goals
Sees Bitcoin as digital gold, a real store of value
Calls most other coins “software, not money”
Likely to push for clearer rules + stricter oversight
Could slow down some pro-crypto bills if they clash with Fed goals
Here’s the twist 👇
Here’s the twist 👇
Big Fed move: President Trump is tapping Kevin Warsh to replace Jerome Powell when his term ends in May 2026. Markets didn’t freak out—yields nudged up, stocks dipped a bit, and everyone’s basically in “wait and see” mode.
Big Fed move: President Trump is tapping Kevin Warsh to replace Jerome Powell when his term ends in May 2026. Markets didn’t freak out—yields nudged up, stocks dipped a bit, and everyone’s basically in “wait and see” mode.