Federal Reserve

The Federal Reserve (the Fed) is the central bank of the United States. It is responsible for monetary policy, regulating banks, and maintaining the stability of the financial system. The Fed's chair is a key figure in the US economy. The organization is newsworthy because President Trump has nominated Kevin Warsh, a former Fed governor, to replace the current chair, Jerome Powell, whose term ends in May. This nomination follows months of speculation and pressure from Trump on Powell, particularly regarding interest rate policies. Warsh's nomination is significant because it signals a potential shift in the Fed's direction and could impact its independence from the White House. The nomination will face a challenging Senate confirmation process.