Fed Chair Kevin Warsh Heads to First Rate Decision Under a Cloud of Distrust About His Independence

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Originally published at: Fed Chair Kevin Warsh Heads to First Rate Decision Under a Cloud of Distrust About His Independence - TPM – Talking Points Memo

Throughout his confirmation hearing, Democrats didn’t trust that President Donald Trump’s new Federal Reserve Chair Kevin Warsh could remain independent from the president. Of chief concerns were Trump’s very open attacks on the Fed’s independence, which started on social media and in the press but went far beyond that when he tried to fire Fed…

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Fed Chair Kevin Warsh Heads to First Rate Decision

Which is way better than a second-rate decision.

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The fig leaf the Supreme Court used for their craven surrender of independent commission prerogatives to the Executive Branch was: “Give him control of everything but the Fed!”

Bets on how many glasses of Madeira it will take for them to capitulate on the Fed, too?

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If he was going to be “independent” he would not have gotten the gig.

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Nice word play.

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All out to throw the 2026 midterms.

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Enjoy the mortgage investigation, bucko. You earned it!

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Kevin Warsh’s “decision tree” includes a test, i.e. “How will Rip Van Tinkle” react?

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The Fed’s independence will be tested in the Warsh way.

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Please explain to me how the President has the power to schedule Senate hearings? I’ll wait.

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He tells Thune when and how. I thought everyone knew.

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TSF will throw the ketchup when Warsh fails to cut rates today. He’s a sock puppet.

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Warsh quite probably won’t have the votes to cut rates at the first meeting. But the chair sets the agenda, and potentially sets the rules. Look also for criminal investigations against other FOMC members. Which will not go well.

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We’ll be lucky to get second-rate decision out of this third-rate klown kar.

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I love how no one mentions the other end of the equation: Savers.

The the Interest Rate on your savings account will go down to .0000000001 %.

And CF-DJT does not care about the economic sucess or problems of near all of the American voters, he has said as much. He only cares about the interest rates on borrowing by “his” people, the buy, borrow and die class.

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If anything at all stops them, it will be the fact that Balls’n’Strikes and the rest of the Reactionary Rightists are hooked into the monied interests. A bout of hyperinflation would be awful for us, but it would still be bad for them. I’m pretty sure they’re getting back-channel pressure to keep the Federal Reserve Board of Governors as free of politics as they can.

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I think there’s a real opportunity here for Warsh to structure rates in a way that reduces costs to the big lending banks but not to consumers or non-favored businesses. Profit all round.

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I’m surprised you’re praising Warsh’s decision as a “first rate decision” even though he hasn’t officially made it yet.

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If only the headline writer had been able for fit “Fed Lending Interest” in there.

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