Kevin Warsh confirmed as Fed chair 54-45, takes office May 22; Powell stays on the Board

The US Senate confirmed Kevin Warsh as chair of the Federal Reserve in a 54-45 vote on May 13, 2026, completing a leadership transition first set in motion when President Donald Trump nominated him January 30. Pennsylvania Democrat John Fetterman was the lone Democrat to join all Republicans in support. Warsh, who served on the Fed Board of Governors from 2006-2011 and helped steer the central bank during the 2008 financial crisis, succeeds Jerome Powell, whose term as chair ended in mid-May; reporting indicated Warsh took office on or about May 22 for a four-year term running to 2030.

In an unusual arrangement, Powell will remain on the Fed's Board of Governors after stepping down as chair — described as the first time a former chair has done so in roughly 75 years — with his separate governor term running into 2028. The confirmation followed a party-line 13-11 Senate Banking Committee vote in late April. Democrats, including Senator Elizabeth Warren, questioned Warsh's independence, with Warren characterizing him as a potential 'sock puppet' for a president who has repeatedly pressed the Fed to cut rates aggressively; supporters cast Warsh as an inflation hawk and experienced crisis manager.

The transition lands at a fraught moment: inflation re-accelerated on the energy shock, markets moved to price possible rate hikes rather than cuts later in 2026, and the new chair inherits a 3.5-3.75% funds-rate range and a divided FOMC.