Story perspectives

Warsh denies Trump demanded cuts; DOJ probe stalls nomination

4/26/2026

Summary

Story summary

Kevin Warsh, President Donald Trump’s Federal Reserve chair nominee, told the Senate Banking Committee the president never asked him to commit to cuts, contradicting Trump’s remarks.
In March, inflation rose to 3.3% on gasoline prices after the Iran war, with Federal Reserve (Fed)’s rate staying near 3.6% and committee voting 11-1 to keep rates unchanged.
A Justice Department probe into Jerome Powell’s testimony and Warsh’s holdings has stalled his nomination.

History

Historical Context

In August 1987 President Ronald Reagan nominated economist Alan Greenspan, who became the Fed’s 13th chairman and served 19 years until 2006. Decades later, on 30 January 2026 Donald Trump named former Treasury official Kevin Warsh as his successor; the nomination must clear the Senate Banking Committee before confirmation, timing the pick for the vacancy created by Jerome Powell’s term ending 23 May 2026.

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Story summary

Kevin Warsh, President Donald Trump’s Federal Reserve chair nominee, told the Senate Banking Committee the president never asked him to commit to cuts, contradicting Trump’s remarks.
In March, inflation rose to 3.3% on gasoline prices after the Iran war, with Federal Reserve (Fed)’s rate staying near 3.6% and committee voting 11-1 to keep rates unchanged.
A Justice Department probe into Jerome Powell’s testimony and Warsh’s holdings has stalled his nomination.

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