Kevin Warsh Vows He Won't Be Trump's 'Sock Puppet' at Fed Chair Confirmation Hearing

Trump's Federal Reserve chair nominee Kevin Warsh testified before the Senate Banking Committee on April 21, 2026, in a contentious hearing. In a notable exchange with Sen. John Kennedy (R-LA), Warsh vowed he would not be Trump's 'sock puppet,' and stated that Trump 'never asked me to pre-determine, commit, fix, or decide on any interest rate decision.' Warsh proposed major reforms he called 'regime change' at the Fed: fewer Federal Open Market Committee meetings per year (from 8 to fewer), a new inflation targeting framework, and greater Fed transparency about models and forecasts. Senators pressed Warsh on an undisclosed $100 million investment portfolio that raised conflict-of-interest questions. Sen. Thom Tillis (R-NC) signaled he might block the committee vote over an open criminal investigation into outgoing Chair Jerome Powell related to building renovations. Warsh's confirmation path appears likely but not certain. If confirmed, he would inherit a Fed managing energy inflation from the Iran war, elevated interest rates, and growing recession risks — a far more volatile environment than in his previous Fed service (2006–2011). Outgoing Chair Powell, who had long clashed with Trump over rate cuts, was expected to leave upon Warsh's confirmation.