US President Donald Trump has indicated he believes his nominee to head the Federal Reserve, Kevin Warsh, could attract votes from Senate Democrats. Describing Warsh as a “high-quality person,” Trump expressed confidence that he should secure confirmation without significant difficulty. Trump, speaking to reporters on Air Force One, stated Warsh is ‘so good that he’ll probably get Democrat votes. He should.’
Trump selected Warsh, a former Federal Reserve insider, on Friday as his choice to lead the central bank when Jerome Powell’s term concludes in May. However, Warsh’s confirmation process may encounter hurdles. Republican Senator Thom Tillis has stated his intention to block the confirmation until a Justice Department inquiry into Powell is “fully and transparently resolved.” Trump has criticised Tillis, calling him an ‘obstructionist’ and suggested his administration is willing to await Warsh’s confirmation until after Tillis’s departure from the Senate.
Senator Tillis serves on the Senate Banking Committee, which oversees Federal Reserve confirmations. The committee holds a slim 13-11 Republican majority, meaning the loss of a single vote could impede the nomination’s progress to the full Senate, where Republicans possess a narrow three-vote majority.
When questioned about his expectations for Warsh’s approach to interest rates, Trump suggested Warsh would likely lower them. ‘I hope he’s going to lower them, but he’s going to have to do what he want to do,’ Trump stated, adding that Warsh had made no commitments regarding interest rate policy.
