Overview
- Warsh has brought on Paul Winfree and Daniel Heil as temporary contractors to advise him during his transition at the Federal Reserve and to support policy analysis and special projects.
- Winfree wrote the Federal Reserve chapter of the conservative Project 2025 blueprint and has ties to the Heritage Foundation, while Heil is a Hoover Institution fellow who previously worked with Warsh.
- In an internal memo Warsh pledged to uphold the Fed’s traditions while reviewing reforms and laid out priorities that include shrinking the Fed’s roughly $6.7 trillion balance sheet, cutting back on specific forward guidance, and exploring alternate inflation measures.
- The hires and Warsh’s stated agenda raise new questions about the Fed’s independence because the Board still includes former Chair Jerome Powell and a Supreme Court ruling is pending over President Trump’s attempt to remove Governor Lisa Cook.
- Warsh’s swift confirmation and May 22 swearing-in put these early personnel and policy moves in play immediately, with the June 16–17 meeting and updated economic projections likely to show whether colleagues and markets accept his proposed direction.