Kevin Warsh sworn in as new Fed chair at White House, replacing Powell

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Washington — In a historic ceremony at the White House on Friday, Kevin Warsh was officially sworn in as the new chairman of the Federal Reserve, succeeding Jerome Powell. Addressing a distinguished audience that included Supreme Court justices, members of Congress, Cabinet officials, and business leaders, Warsh expressed his commitment to upholding the dual mandate of the Fed – promoting price stability and maximum employment.

Emphasizing the importance of wisdom, clarity, independence, and resolve in achieving these goals, Warsh outlined his vision for a reform-oriented Federal Reserve that learns from past experiences, embraces innovation, and upholds integrity and performance standards. President Trump, who introduced Warsh, praised his abilities and expressed his desire for Warsh to operate with complete independence in his new role.

Kevin Warsh takes the oath of office from Supreme Court Justice Clarence Thomas to become Fed chairman in the East Room of the White House on May 22, 2026.
Roberto Schmidt / Getty Images

Warsh’s appointment comes after a period of tension between President Trump and Jerome Powell, with the president openly criticizing Powell’s handling of interest rates. Warsh has pledged to maintain the Fed’s independence in setting monetary policy, ensuring that decisions are made based on economic data rather than political pressure.

As the Fed grapples with rising inflation and a strong labor market, the path forward for interest rates remains uncertain. While some argue for rate cuts to stimulate growth, others caution against fueling inflation. Warsh’s stance on AI-driven productivity and its impact on inflation may influence future rate-setting decisions.

Despite his reputation as a monetary policy hawk during his previous tenure at the Fed, Warsh has demonstrated flexibility in his views on interest rates. His ability to navigate differing opinions within the rate-setting committee and build consensus will be crucial in guiding the Fed through economic challenges.

With his long-term strategic approach and commitment to upholding the Fed’s mandate, Warsh is poised to lead the central bank in a complex economic environment. The financial markets are closely watching for signals on future rate decisions, as Warsh prepares to steer the Federal Reserve towards its dual objectives of price stability and maximum employment.

Kathryn Watson contributed to this report.