Democrats thought Fed Chair Kevin Warsh would be a Trump loyalist — his opening move proves he’s nothing of the sort | Metals Mine

  • Democrats thought Fed Chair Kevin Warsh would be a Trump loyalist — his opening move proves he’s nothing of the sort

    From nypost.com

    Nearly every Democrat in the Senate opposed Kevin Warsh’s nomination as Fed chair mainly because they said he would be a tool of the man who appointed him, President Trump. This past week, Warsh made them look downright foolish. Yes, the knock on Warsh was that he would deliver lower short-term rates to goose the economy as the midterms approach, despite persistent inflationary pressures, because he owes his loyalty to The Donald as opposed to his long-held beliefs about monetary policy. That such BS came from lefties like Sen. Elizabeth Warren (D-Mass.) should have been a tell of their political nature, as opposed ... (full story)

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phntmzr0
2 hr 35 min ago
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It's too soon to say where Warsh's loyalties lie, whether that be to Trump, someone else or himself.

Warsh notably did away with forward guidance during his last/first FOMC statement. He has assigned or delegated "task forces" to address various concerns within the federal reserves dual mandate in mind.

I believe both those actions were meant to dilute the accountability of the chairman himself. Hence, who knows where his loyalties lie.

He strikes me as Machiavellian. If anyone is playing 4D chess, it is him.
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