A US Senate committee on Wednesday advanced President Donald Trump’s nominee to the Federal Reserve, intensifying debate over the central bank’s independence from politics.
Stephen Miran, chair of the White House Council of Economic Advisers (CEA), passed the Senate Banking Committee’s vote by 13–11, with Democrats opposing his nomination.
Lawmakers expressed concern that Miran intends to take a leave of absence — rather than resign — from the CEA if confirmed to the Fed’s board of governors. If approved by the full Senate, he could join the Federal Open Market Committee (FOMC) in time for its September 16–17 meeting.
The move comes as Trump continues to pressure the Fed to cut interest rates. Two weeks ago, he attempted to dismiss Fed Governor Lisa Cook, the first Black woman on the board, over alleged mortgage fraud. A federal judge blocked the ouster, pending her legal challenge.
Democratic Senator Elizabeth Warren said Miran’s nomination amounted to a “Trump loyalty test,” warning that his role at the Fed could affect his return to the White House.
Miran is nominated for a short-term vacancy lasting until January 2026. He has said he would resign from the CEA if later nominated for a longer Fed term.
The Fed has held interest rates steady this year but is expected to cut them next week as tariffs appear to have had only a limited effect on inflation while the labour market shows signs of weakening.