Subject: Re: Kevin Warsh nominated as Fed Chair
If Mr. Warsh stands by his clear opinions (regardless of pressure from the White House) he will not support fed funds rate cuts if the economy is strong and inflation is persistent.

Even more important, Mr. Warsh has been against the Fed suppressing long-term interest rates by buying bonds with fiat money. (Quantitative Easing.) He will support the roll-off of the Fed’s bloated book of bonds.

This is extremely important since bond investors will read this as a Macroeconomic trend toward higher long-term interest rates. Stock investors will, too – and higher interest rates will lead to lower stock prices.

What has Warsh been saying lately? Can't believe Trump would pick someone he thought would not reduce rates.