Senate confirms Stephen Miran to Federal Reserve board
The Senate on Sept. 15 narrowly voted in favor of President Donald Trump’s pick to join the Federal Reserve board of governors, just in time for its September rate decision meeting.
The Senate confirmed the rushed appointment of Stephen Miran, chairman of the White House Council of Economic Advisers, in a 48-47 vote in favor. He is set to fill the empty seat left by former Fed Governor Adriana Kugler, who stepped down from the role in August. The term is set to end in January.
Miran’s nomination spurred questions from lawmakers concerned he would bow to Trump’s demands for more aggressive rate cuts. Miran has maintained that he will be committed to preserving the Fed’s independence from politics.
“If I’m confirmed to his role, I will act independently, as the Federal Reserve always does, based on my own personal analysis of economic data, my own personal analysis of the effects of economic policies upon the economy, and act based on my judgment of the best economic policy possible,” Miran said during a Senate confirmation hearing in early September.
Miran is set to take part in the Fed’s next monetary policy meeting, which kicks off Sept. 16. The central bank is expected to announce its interest rate decision the following day.
Stephen Miran, President Donald Trump’s nominee to the Federal Reserve Board, attends a Senate Banking, Housing and Urban Affairs Committee nomination hearing on Capitol Hill on Sept. 4, 2025.
Miran’s confirmation puts Trump one step closer to having a majority of appointees on the seven-person Federal Reserve board.
Two other members appointed by Trump during his first term, Christopher Waller and Michelle Bowman, dissented from the Fed’s July decision to keep interest rates steady.
Trump is also working to fire Governor Lisa Cook, although the move is being challenged in court. An appeals court on Sept. 15 ruled against his administration’s attempt to remove Cook from the Fed ahead of the upcoming meeting.
The Fed’s benchmark rate has held steady at a 4.25% to 4.5% range since late 2024, with the Fed holding off on reductions to see how tariffs impact consumer prices.
While investors and many economists expect a quarter percentage point cut in September, Waller, Bowman and Miran may push for a more aggressive half percentage point cut, according to a recent note from Michael Feroli of JP Morgan.
Trump continued to call for aggressive rate cuts on Truth Social, writing that Fed Chair Jerome Powell “MUST CUT INTEREST RATES, NOW, AND BIGGER THAN HE HAD IN MIND.”
During a Senate confirmation hearing in early September, lawmakers grilled Miran on whether he would be committed to maintaining the Fed’s independence from politics. Miran denied accusations that he was Trump’s “puppet,” telling lawmakers that he is “very independently minded.”
Before joining the Council of Economic Advisers, Miran proposed a series of reforms to strengthen presidential oversight of the Fed and the regional Reserve Banks, arguing current governance has “facilitated groupthink that has led to significant monetary-policy errors.”
In a 2024 essay, Miran argued for shorter terms for governors; clarification that members serve “at the will of the U.S. president”; allowing state governors to choose the presidents of regional Reserve Banks; and banning the “revolving door” between the executive branch and the Fed, despite Miran himself making a jump from an advisory role at the White House.
Sen. Elizabeth Warren, D-Mass., argued that Miran’s appointment would risk the Fed’s independence.
“No one – not the American public, not investors here at home, not the worldwide financial markets – will trust him as an independent voice,” Warren said at Miran’s confirmation hearing. “Every claim he makes and every vote he takes will be tainted with the suspicion that he isn’t an honest broker but instead is Donald Trump’s puppet.”
Senators Elizabeth Warren (D-MA) and Tim Scott (R-SC) lean in to speak to each other during a Senate Banking, Housing and Urban Affairs Committee confirmation hearing for Federal Reserve Board nominee Stephen Miran, on Capitol Hill on Sept. 4, 2025.
The increased political attention “introduces an additional layer of complexity” to the Fed’s meeting, according to a recent note from EY-Parthenon chief economist Gregory Daco.
“The recent political noise could influence market expectations, elevate risk premia, and constrain the Fed’s policy flexibility if its credibility comes under question,” Daco wrote on Sept. 12, adding that he expects Powell to reaffirm the importance of the Fed’s independence while steering clear of comments on specific political developments.
Miran plans to take an unpaid leave of absence from his advisory role at the White House. He said he would resign from the White House Council of Economic Advisers if asked to fill a longer term.
Trump has mulled having Miran step in to finish Cook’s term, which is set to end in early 2038.
Trump announced his intention to fire Cook in August, arguing accusations that Cook committed mortgage fraud by listing two properties as her primary residence before joining the Fed allowed him to fire her for “cause.” Cook, who has denied wrongdoing, has not been charged with a crime and is fighting Trump’s attempt to fire her in court.
Reuters reports the Cook claimed an Atlanta home as a “vacation home,” according to a loan estimate, which appears to counter other documents Cook’s critics have cited when accusing her of mortgage fraud. And the property tax authority in Ann Arbor, Michigan, has “no reason to believe” Cook has broken the rules for tax breaks on a home she declared as her primary residence, according to Reuters.
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