Overview
- The Fed’s Board, which voted Friday, named Jerome Powell chair pro tempore until Kevin Warsh takes the oath, without citing a specific legal authority in its release.
- Governors Steven Miran and Michelle Bowman opposed an open-ended arrangement, with Miran voting no and Bowman abstaining as they called for a short, time-limited designation.
- Warsh won Senate confirmation Wednesday in a 54–45 vote, with Powell staying on the Board as a voting governor through 2028 in a rare overlap of an outgoing and incoming chair.
- Following Friday’s hot April inflation data and $111 Brent crude, the 10-year Treasury yield closed near 4.60% as stocks retreated from record levels.
- Warsh inherits a divided policy committee that has shown little appetite for early rate cuts, with the next decision point at the June 16–17 meeting where Powell will still have a vote.