Kevin Warsh Sworn In as Federal Reserve Chair Amid Rising Inflation Pressures

Mintesinot Nigussie

Kevin Warsh has been sworn in as the new chair of the US Federal Reserve. He takes office at a time when inflation risks are rising due to higher energy costs, geopolitical tensions, and weakening consumer sentiment.

The Federal Open Market Committee unanimously selected Warsh as chair. He was sworn in by Supreme Court Justice Clarence Thomas in a ceremony attended by President Donald Trump and senior officials.

Trump used the occasion to criticise previous Fed leadership and called for lower interest rates. Warsh said he would lead a reform-oriented Federal Reserve focused on learning from past policy experience while maintaining clear standards of integrity.

The new chair takes office as US inflation pressures build, driven by rising gasoline prices linked to Middle East conflict and additional costs from import tariffs and AI infrastructure expansion.

Consumer sentiment has weakened significantly, with the University of Michigan’s survey showing confidence falling to a record low. Warsh said the Fed’s mandate remains price stability and maximum employment.

His appointment marks a significant shift in leadership at the world’s most influential central bank amid complex global economic challenges.