Reuters reported on May 18, citing White House officials, that Warsh is scheduled to take the oath of office on May 22, presided over by President Donald Trump.
Warsh's confirmation passed the Senate on May 13 with a vote of 53 in favor and 45 against. He will chair his first Federal Open Market Committee (FOMC) meeting on June 16-17.
A lawyer and financial expert, Warsh previously served as a Fed governor during the global financial crisis. He takes on the role amid inflation significantly exceeding the Fed's target of 2%.
According to Reuters, while some Fed officials viewed tariff impacts as a one-time price increase, concerns about inflation have intensified due to energy price shocks stemming from the Iran conflict affecting a broad range of goods and services.
Austan Goolsbee, president of the Chicago Federal Reserve Bank, stated in an interview with Fox Business, "We are facing an inflation problem," noting that the rising service prices may not solely be attributed to oil prices or tariffs. He added, "There are many issues to watch, and we need guidance from the chair."
Markets are increasingly anticipating that the current benchmark interest rate of 3.50-3.75% will remain unchanged at the June FOMC meeting. However, with inflation indicators coming in higher than expected, there are speculations that the Fed may raise rates as early as December.
Meanwhile, Jerome Powell, who led the Fed for eight years, completed his term on May 15. He served as interim chair until Warsh's official swearing-in and is expected to remain on the Fed board.
* This article has been translated by AI.
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