Trump Denies Regular Calls With Fed Chair Warsh
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- Trump confirmed speaking with Fed Chair Kevin Warsh "one time, briefly, a few days ago," contradicting a Wall Street Journal report that the two had spoken repeatedly since Warsh became chairman in May
- Warsh said he is happy to hear from the president on interest rates but will "make up his own mind" on where rates should go
- Trump acknowledged Warsh's limited room to act, saying "If it was up to him, it would be different, but he's got a board," while publicly insisting Warsh should lower rates
- Trump had only one regular scheduled meeting with former Chair Jerome Powell since returning to the presidency in 2025, and the two also toured a Fed construction site together after Trump alleged Powell had mismanaged the renovation project
- Trump last week revived an effort to fire Fed Governor Lisa Cook, who is serving a 14-year term on the Board
- Warsh's June calendar showed three meetings with Treasury Secretary Scott Bessent, continuing a longstanding breakfast-meeting custom between the two officials
Why it matters: Trump's denial of frequent contact with Warsh comes as he has simultaneously pushed for rate cuts and revived his effort to remove a sitting Fed governor, testing the institutional boundaries of central bank independence. His own quote — "If it was up to him, it would be different" — signals that any restraint on rate cuts is coming from the Board, not from Warsh's preferences, a dynamic the article contrasts with the 1970s Burns-Nixon precedent that preceded a sharp inflation episode.
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