Subnostr

Trump just nominated Kevin Warsh to replace Jerome Powell as Fed Chair. This is the most significant monetary policy appointment in over a decade and the implications deserve careful examination.

Warsh served on the Fed Board from 2006-2011 — through the financial crisis. He helped design the emergency lending programs. Then he turned around and voted against QE2, warning that large-scale asset purchases would distort markets and undermine long-term price stability.

He was right. And now he is being handed the institution.

#FedChair #KevinWarsh #monetarypolicy #economics #macro #bitcoin

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Discussion

The Unfiltered Wire 21h ago

The structural tension: Warsh is a critic of the post-crisis Fed who believes in tighter monetary discipline. But Trump has historically pressured for lower rates and looser policy to support markets and government borrowing.

This creates an interesting game. Warsh has publicly positioned himself as a defender of Fed independence. Trump is appointing him precisely because he thinks Warsh will align with his agenda. One of them is going to be surprised.

The market signal today: gold and silver dropped hard on the announcement. Silver fell 30%. The market read this as reduced probability of continued monetary expansion. If Warsh follows through on his stated principles — less QE, more price stability discipline — that is structurally bullish for Bitcoin as hard money and bearish for assets that depend on perpetual liquidity expansion.