President Donald Trump Just Took a Jab at His Handpicked Fed Chair, Kevin Warsh, Over Interest Rates
Trump's wish for lower interest rates has effectively vanished, largely due to two of his own decisions.
Overview
This is turning out to be a history-packed year for Wall Street. Earlier this month, the time-tested Dow Jones Industrial Average (DJINDICES: ^DJI), benchmark S&P 500 (SNPINDEX: ^GSPC), and growth-stock-powered Nasdaq Composite (NASDAQINDEX: ^IXIC) launched to fresh highs on the heels of artificial intelligence (AI) euphoria.
The last six weeks have also marked a rare succession at America's foremost financial institution, the Federal Reserve. Jerome Powell served his final day as head of the central bank on May 15 (he remains on the Board of Governors), while President Donald Trump's handpicked successor to Powell, Kevin Warsh, officially took over as Fed chair on May 22. He's only the 17th Fed chair since the central bank's inception in December 1913.
Details
Prior to being confirmed as Fed chair, Warsh made clear that changes would be made under his leadership. Following his first Federal Open Market Committee (FOMC) meeting as head of the central bank on June 17, several of these changes were evident, including less forward guidance on interest rates. The FOMC is the 12-person body that's responsible for setting the nation's monetary policy.
Source
Originally published at www.fool.com.