Kevin Warsh has been nominated by Donald Trump to serve as the next Chair of the Federal Reserve, but his confirmation process risks significant delays. It may not be completed until after the current term of Jay Powell expires, creating an increasingly tight schedule for Trump's chosen candidate.
With only one month remaining until the end of Powell's second term as Chair, the influential Senate Banking Committee has yet to schedule a confirmation hearing for Warsh. The committee has not received Warsh's financial disclosure documents or his responses to questionnaires—materials typically submitted to lawmakers before a confirmation hearing takes place.
According to two informed sources, Warsh had initially expected the hearing to occur next week, but the highly anticipated questioning by senators is now unlikely to take place before late April at the earliest.
Krishna Guha, a former New York Fed official now with Evercore ISI, noted that the noticeable delay in the confirmation hearing "increases the likelihood that Warsh will not be confirmed in time to succeed as Chair when Powell's term ends on May 15."
Warsh's nomination process has already been slowed by a Justice Department investigation into Powell, which centers on cost overruns related to a $2.5 billion office renovation project at the Fed. The investigation has drawn bipartisan criticism and has drawn Warsh into the center of a political storm.
The delay is particularly notable because Trump began searching for a new Fed Chair as early as last summer, making it a priority in his efforts to reshape monetary policy. After a lengthy selection process, the president announced Warsh's nomination at the end of January but did not formally submit the nomination to Congress until early last month.
A person familiar with the nomination process stated, "Warsh's team is working to complete the few remaining procedural items ahead of the hearing. Warsh will continue meeting with Republican and Democratic senators next week."
A spokesperson for Warsh did not respond to requests for comment.
Warsh has sought the position of Fed Chair for over a decade. When appointed in 2006, he was the youngest Fed governor in history and served as a liaison between Wall Street and the central bank during the financial crisis.
If Warsh is not confirmed in time, Powell may continue to serve as Chair of the Federal Reserve Board and head of the interest rate-setting Federal Open Market Committee until a successor is in place—which would weaken Trump's efforts to push the Fed toward significant interest rate cuts.
Analysts suggest that the longer the investigation into Powell continues, the more likely it is that he will choose to remain as a regular governor after stepping down as Chair. Although it is customary for a Chair to depart at the end of their term, Powell's term as a governor can extend until 2028.
Last month, Powell stated that he "has no intention of leaving the Board before the investigation is thoroughly, transparently, and finally completed," and that he has "not yet decided" whether to remain in his position beyond the end of his term.
Trump has repeatedly praised prosecutors for investigating Powell, while U.S. Attorney Jeannie Rhee has vowed to continue the probe despite a federal judge blocking a subpoena to the Fed last month. Judge James Boasberg noted that the Trump administration provided "almost no evidence" of criminal conduct by Powell.
Republican Senator Thom Tillis of North Carolina, who is retiring after the November midterm elections, has repeatedly vowed to block Warsh's nomination in the Senate Banking Committee unless the Justice Department drops its investigation.
Other Republican senators have also criticized the investigation, suggesting that Warsh may struggle to secure full Senate confirmation until the Justice Department concludes its probe.
In the coming weeks, Warsh is also expected to face intense scrutiny over his financial disclosures, which are likely to reveal his family's substantial wealth.
Warsh's wife, Jane Lauder, is a member of the extremely wealthy family behind cosmetics giant Estée Lauder. His father-in-law, Ronald Lauder, has been a close ally of the president for decades and is one of his major financial backers. In March 2025, he donated $5 million to the pro-Trump campaign organization "Make America Great Again Inc."
Warsh himself may have accumulated significant wealth. After resigning as a Fed governor in 2011, he has worked at the family office of billionaire hedge fund manager Stanley Druckenmiller.
Druckenmiller is a well-known macro investor who bets on global economic trends but maintains a cross-asset investment strategy, trading everything from currencies to stocks.
According to informed sources, in recent years, Warsh has become a key link between Druckenmiller's family office and Silicon Valley, leading investments in several private technology companies.
Warsh also serves on the boards of shipping giant UPS and South Korean e-commerce company Coupang—positions he is expected to resign from if confirmed as Fed Chair.
A White House spokesperson said the administration remains "committed to working with the Senate to swiftly confirm" Warsh, adding that his "academic credentials, private sector achievements, and prior service on the Federal Reserve Board make him fully qualified to restore confidence and credibility in the Fed's decision-making."
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