Trump says Fed Chair Warsh faces a hostile board, calls for him to act independently
Trump says he still has confidence in Warsh, even as the Fed chair has voted for higher rates and resisted the president's calls to cut
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UpdateWednesday, September 16, 2026 at 6:50 PM ET
Trump also said inflation is too high, echoing the concern Warsh has cited for resisting rate cuts.
President Trump said Federal Reserve Chair Kevin Warsh is dealing with a hostile board and should be allowed to act independently. Trump said he still has confidence in Warsh.
The remark comes after Warsh voted for the Fed's recent quarter-point increase, lifting the target range to 3.75%-4%, with the central bank signaling one more hike this year. Warsh has said inflation remains too high across multiple categories of goods and has left little room for near-term cuts, even as Trump has repeatedly called for rates at 1% or lower and wants the move done quickly.
The White House has kept up pressure on the Fed this week. Deputy National Economic Council Director Rachel Desai called the recent rate hike "rather unfortunate." Traders are pricing about a 50% chance of a further hike in October, a pullback from earlier bets that had treated additional tightening as almost certain.
Trump's description of a hostile board, paired with his call for Warsh to be independent, looks aimed at easing resistance to rate cuts without pushing Warsh out. It fits with his earlier demands for lower rates and his stated confidence in the chair, suggesting Trump sees Warsh as someone who could still shift position rather than as an opponent. The question for markets is whether Warsh responds by softening the inflation-first stance he has held through his recent public comments.