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The Senate on Monday narrowly confirmed economist Stephen Miran, a top adviser to President Donald Trump, to the Federal Reserve’s Board of Governors, handing the president fresh influence over the central bank just as it prepares for a pivotal decision on interest rates.
The 48-47 vote filled the vacancy left when Biden appointee Adriana Kugler resigned last month before the end of her term. Miran, who chairs the White House’s Council of Economic Advisers, will take an unpaid leave from that role while serving on the Fed board. He said the unusual arrangement was justified because his term runs only until January.
Miran’s confirmation comes on the eve of a Federal Open Market Committee meeting where 12 top Fed officials — now including Miran — will decide whether to cut interest rates for the first time this year. The committee is widely expected to vote for a reduction, a move Trump has long demanded to stimulate economic growth and reduce borrowing costs.
Trump has pressured the central bank for months, calling Fed Chair Jerome Powell “Mr. Too Late” for resisting deeper cuts. While lower rates could boost consumer spending, economists warn they may also stoke inflation, which remains a concern for many businesses and households.
A fight over Fed independence
Miran faced sharp scrutiny in the Senate Banking Committee, where Democrats warned his dual roles raised serious questions about central bank independence.
Sen. Elizabeth Warren, D-Mass., called his nomination “part of Trump’s gambit to seize personal control of the Fed,” adding: “He will have zero credibility with markets, businesses, and the public if he is confirmed under these circumstances.”
Republicans countered that Miran’s background would strengthen the Fed’s policymaking. Sen. Tim Scott, R-S.C., who chairs the Banking Committee, praised him as bringing “deep experience, proven leadership and a clear commitment to ensuring that the American economy remains strong and competitive.”
Miran himself insisted he would respect the central bank’s independence. “The independence of monetary policy is a critical element for the Fed’s success,” he told senators earlier this month. He also pledged to resign from his White House post if nominated for a longer Fed term.
Trump reshaping the Fed
Miran’s confirmation is the latest in a series of moves by Trump to reshape the Fed’s leadership. Last month, the president attempted to fire Fed Governor Lisa Cook, alleging she falsified mortgage documents. Cook has challenged the dismissal in court and a judge ruled she can remain on the board while the case plays out. The Trump administration has appealed that decision, seeking to block her participation in this week’s rate meeting.
Trump may also gain another opening soon. Powell’s four-year term as chair expires in May, though his 14-year term as a board member extends until 2028. Trump has floated firing him earlier, but the legal basis is unclear.
If Powell resigns when his chairmanship ends, and Cook is ultimately removed, five of the Fed Board’s seven members could be Trump appointees. Two — Christopher Waller and Michelle Bowman — were confirmed during Trump’s first term.
The developments underscore how the nation’s central bank, historically insulated from politics, has become a battleground as Trump presses for policies that could help accelerate growth but risk undermining its independence.
