Photo : YONHAP News
Kevin Warsh officially took office as the new chair of the U.S. Federal Reserve on Friday local time.
Warsh stressed the Fed’s independence and the need for reform during his swearing-in ceremony at the White House.
He said the Fed’s mission is to promote price stability and maximum employment.
Warsh added that inflation would fall and growth would stay strong if the Fed pursued its goals with independence and resolve.
He also pledged to lead a reform-oriented Federal Reserve.
Analysts say the remarks were aimed at easing concerns that the Fed could be influenced by President Donald Trump’s pressure for interest rate cuts.
Trump said he hoped Warsh would remain completely independent and simply “do the job well.”
The comments contrasted with Trump’s past public attacks on former Fed Chair Jerome Powell over interest rates.
Warsh will serve a four-year term and chair his first Federal Open Market Committee meeting next month.
Markets are closely watching whether Warsh will follow the Fed’s independent policy direction despite pressure from the White House.
During his Senate confirmation hearing, Warsh also stressed that monetary policy decisions should be based on the Fed’s own judgment.
Former Fed Chair Jerome Powell will remain on the Fed’s Board of Governors.