Who Is Kevin Warsh, Trump’s Fed Chair Pick?
Nominee took starring role at central bank as young man, and has angled for years to lead it
By
Matt Grossman
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Jan. 30, 2026 at 7:13 am ET

Kevin Warsh has agreed with President Trump’s calls for lower interest rates. DAVID PAUL MORRIS/BLOOMBERG NEWS
Kevin Warsh’s nomination to lead the Federal Reservemarks a triumphant return to the central bank for a former Fed official who has long angled for the Fed’s top job. Here’s what to know about Warsh, his background and his views on the Fed’s policy portfolio.
Early rise to power and wealth
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Warsh, 55 years old, grew up in upstate New York, where he attended a public high school before studying for a bachelor’s degree in public policy at Stanford and graduating in 1992. Like the Fed’s current chair, Jerome Powell, he also earned a law degree. Warsh’s is from Harvard University.
After seven years as a Wall Street banker at Morgan Stanley, Warsh joined George W. Bush’s inner circle of economic-policy advisers in 2002. That same year, he married Jane Lauder, an executive at Estée Lauder and an heiress to one of America’s wealthiest families. Warsh’s father-in-law, Ronald Lauder, is a former classmate of Trump’s and a major Republican donor.
In 2006, Bush nominated Warsh to join the Federal Reserve as a governor, one of the seven Washington, D.C.–based officials with a standing vote on monetary policy. At 35, Warsh was the youngest person to join the Fed in the central bank’s history.
Tested during crisis
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Soon after Warsh arrived, the Fed faced a historic challenge in 2008: a deep financial crisis that threatened to spin the economy into the worst downturn since the Great Depression.
The market rupture was an emergency for America’s largest banks, and as the Fed official best connected on Wall Street, Warsh took a leading role coordinating the Fed’s policy response. He played a part in the government’s bailout of AIG, a major insurer, and helped choreograph JPMorgan’s acquisition of Bear Stearns, an investment bank brought to its knees by the crisis.
Warnings against inflation
An early supporter of the Fed’s aggressive response to the crisis, Warsh soon became concerned that the central bank’s stimulus could prompt inflation down the road. By 2010, when the Fed had begun to buy up U.S. government bonds in an effort to boost the economy, Warsh had become a skeptic, warning in a June 2010 speech that “any judgment to expand the balance sheet further should be subject to strict scrutiny.”
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In a Fed policy meeting later that year, he argued against a further bond-buying program, but relented and voted in support.
Runner-up for Powell’s job
After Warsh’s term as a Fed governor ended, he joined Stanford’s right-leaning Hoover Institution and became a board member at UPS. Shortly after Donald Trump won the 2016 presidential election, Warsh was added to an outside group of business leaders convened to advise the White House.
Trump had an opportunity to name a new Fed chair as Janet Yellen’s term wound down in 2017, and Warsh was identified as one of the finalists for the job. He interviewed with Trump but was rejected in part because Trump found the then-47-year-old Warsh too youthful looking. Trump instead selected Powell, who quickly became a thorn in the president’s side by raising interest rates when Trump thought they should fall.
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Shift toward Trump’s perspective
Once a proponent of free trade, Warsh has defended Trump’s tariffs in recent months, arguing in television interviews that they aren’t likely to cause inflation. Instead, he has echoed Trump’s calls for lower interest rates.
“The president’s right to be frustrated with Jay Powell and the Federal Reserve,” Warsh said in an interview on Fox News over the summer.
He has also backed some of the Trump administration’s broader criticisms of the central bank, including that the Fed’s size and the scope of its work have bled beyond its congressional mandate.
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