Warsh Pledges to Reduce Fed Balance Sheet in Hearing
Kevin Warsh told senators today he aims to shrink the Fed balance sheet via Treasury coordination. He argued smaller holdings could lower rates and aid growth.
Xurve View
Xurve View
Kevin Warsh, the nominee selected by President Donald Trump to lead the Federal Reserve, informed a Senate panel on Tuesday of his intention to collaborate with the Treasury Department to reduce the central bank's balance sheet. During his confirmation hearing to succeed current Chair Jerome Powell, Warsh described the reduction of holdings as a necessary step for the long-term health of the economy in the United States.
"Working with the Treasury Secretary, we're going to have to find a way in which we can take the balance sheet and make it smaller."
