Senate panel advances Kevin Warsh; Sen. Tim Scott urges Fed focus on rates and price stability

Kevin Warsh’s nomination to serve as chair of the Federal Reserve advanced out of the Senate Banking Committee this week, and the full Senate is expected to hold a confirmation vote the week of May 11, the program reported. A brief clip of outgoing Fed Chair Jay Powell noted he will remain on the Federal Reserve Board after stepping down as chair.

Joining the program, U.S. Sen. Tim Scott urged that the new Fed chair focus on traditional monetary objectives. "My hope is that Kevin Warsh will focus on interest rates, stable prices, and full employment," Scott said, adding that if Warsh pursues those aims "we will have a Fed that we can have confidence in."

Scott described the current economy as "very healthy," and credited recent gains in inflation and growth to policies enacted since the prior presidential administration. He said he expects inflation to continue coming down and unemployment to remain under 4 percent if those priorities are maintained.

The host noted a full confirmation vote is anticipated in mid‑May; Scott said he expects the Senate will take the nomination within the first two weeks back in May. The segment included a short statement attributed to outgoing Fed Chair Jay Powell that he will continue to serve as a governor after leaving the chair and that the incoming confirmed chair will hold the singular chair position.

The next formal procedural step identified in the broadcast is the Senate floor vote, which participants said is expected the week of May 11.