Skip to Content Subscribe Our Offers My Account Manage My Subscriptions FAQ Newsletters Canada Canadian True Crime Canadian Politics Health World Israel & Middle East Financial Post NP Comment Longreads Puzzmo Diversions Comics NP News Quiz New York Times Crossword Horoscopes Life Eating & Drinking Style Sponsored Play for Ontario Travel Travel Canada Travel USA Travel International Cruises Travel Essentials Culture Books Celebrity Movies Music Theatre Television Business Essentials Advice Lives Told Tails Told Shopping Buy Canadian Home Living Outdoor Living Tech Style & Beauty Kitchen & Dining Personal Care Entertainment & Hobbies Gift Guide Travel Guide Deals Savings National Post Store More Sports Hockey Baseball Basketball Football Soccer Golf Tennis Driving Vehicle Research Reviews News Gear Guide Obituaries Place an Obituary Place an In Memoriam Classifieds Place an Ad Celebrations Working Business Ads Archives Healthing Epaper Manage Print Subscription Profile Settings My Subscriptions Saved Articles My Offers Newsletters Customer Service FAQ Newsletters Canada World Financial Post NP Comment Longreads Puzzmo Diversions Life Shopping Epaper Manage Print Subscription HomeNewsWorldIncoming Federal Reserve chair Kevin Warsh to be sworn in at the White House todayIt is unusual for the chief of the Fed to be sworn in at the White House. The last central bank chief to do so was Alan Greenspan in 1987 under president Ronald ReaganAuthor of the article: You can save this article by registering for free here. Or sign-in if you have an account.FILE: Kevin Warsh, nominee for US Federal Reserve Chair, testifies during a Senate Banking Committee hearing on his nomination on Capitol Hill in Washington, DC, on April 21, 2026. Photo by MANDEL NGAN /AFP via Getty ImagesIncoming Federal Reserve chair Kevin Warsh will be sworn in at the White House on Friday, taking the reins of the US central bank as it faces unprecedented pressure from President Donald Trump to cut interest rates.Enjoy the latest local, national and international news.Exclusive articles by Conrad Black, Barbara Kay and others. Plus, special edition NP Platformed and First Reading newsletters and virtual events.Unlimited online access to National Post.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles including the New York Times Crossword.Support local journalism.Enjoy the latest local, national and international news.Exclusive articles by Conrad Black, Barbara Kay and others. Plus, special edition NP Platformed and First Reading newsletters and virtual events.Unlimited online access to National Post.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles including the New York Times Crossword.Support local journalism.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountorWarsh, whom Trump nominated for the role, has backed rate cuts in the past, even as the world’s largest economy faces inflation at a three-year high.Trump frequently criticized and insulted Warsh’s predecessor, Jerome Powell, even pursuing a criminal probe that the outgoing chair said was meant to pressure the Fed over monetary policy decision-making.The White House has separately sought to fire Fed Governor Lisa Cook, a Biden administration appointee, over mortgage fraud allegations. That case is pending before the Supreme Court.It is unusual for the chief of the Fed — an independent non-partisan body that sets monetary policy according to a dual mandate on inflation and employment — to be sworn in at the White House.The last central bank chief to do so was Alan Greenspan in 1987 under president Ronald Reagan.Trump will host the ceremony on Friday, the White House told AFP.At his Senate confirmation hearing, Warsh insisted that he would “absolutely not” be a puppet for the president. This combination of pictures created on January 12, 2026 shows, Warsh’s predecessor, Jerome Powell, and U.S. President Donald Trump. Photo by SAUL LOEB /AFP via Getty Images“Mr. Warsh insists that he will defend the Fed’s independence in monetary policy,” said David Wessel, senior fellow at the Brookings Institution.“I hope he is true to his word. The risks are higher than ever.”Balancing mandatesWarsh will take over a divided Fed facing high inflation — fueled by the energy price surge that resulted from Trump’s war on Iran — and a labor market showing signs of weakness.The US central bank has a dual mandate to keep inflation to its long-term target of two percent while also maintaining maximum employment.US consumer inflation in April came in at 3.8 percent, a three-year high, with American households battered by years of above-expected price increases since the pandemic.At a Fed meeting last month, a majority of policymakers indicated that rate hikes may be necessary if inflation continues to remain above the Fed’s long-term target. FILE: Kevin Warsh departs at the end of a Senate Banking Committee hearing on his nomination on Capitol Hill in Washington, DC, on April 21, 2026. Photo by MANDEL NGAN /AFP via Getty ImagesWarsh has argued that productivity gains from artificial intelligence-led innovation will allow the US economy to grow rapidly without adding to inflation.The US unemployment rate has remained relatively stable around 4.3 percent for the last year. But job growth — often used as a proxy for economic activity — has see-sawed wildly between expansion and contraction from month to month.That situation — high inflation and inconsistent job growth — has left the Fed in a potentially sticky situation of having to choose between its mandates.“Kevin Warsh will not be able to deliver the rate cuts that the president wants,” said Wessel. “At some point, the president may grow impatient and will begin attacking Mr. Warsh as he did Jerome Powell.”Warsh takes over at “a time of disruption and rebalancing in the overall authority of the president,” said Columbia Law professor Kathryn Judge, whose research focuses on central banking.NEC Director Kevin Hassett praises Kevin Warsh ahead of his swearing-in today: "I think that he wants to restore that independence by returning to its roots... I think that Kevin's going to do a great job. He's going to really turn that institution around." pic.twitter.com/kjYdD2Jnuc— Rapid Response 47 (@RapidResponse47) May 22, 2026Potentially adding to Warsh’s challenges will be the fact that his predecessor Powell has chosen to remain on the board as a member — an unusual but not unprecedented move for an outgoing chair.Powell cited threats to the Fed’s independence as the reason for his decision.On Friday, White House economic advisor Kevin Hassett said he hoped Powell would soon “step aside and we’ll get another governor.”“Hopefully he’ll leave soon and then Kevin will have complete and easy control of the Fed,” he told CNBC.Our website is the place for the latest breaking news, exclusive scoops, longreads and provocative commentary. Please bookmark nationalpost.com and sign up for our daily newsletter, Posted, here. Join the Conversation This website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.