Kevin Warsh, former governor of the US Federal Reserve, walks to lunch during the Allen & Co. Media and Technology Conference in Sun Valley, Idaho, US, on Wednesday, July 9, 2025. The annual event has been a historic breeding ground for media deals and is usually a forum for tech and media elites to discuss the future of their industry. (Photographer: David Paul Morris/Bloomberg via Getty Images)
(WASHINGTON) — President Donald Trump announced conservative economist and former Fed governor Kevin Warsh as his pick to be the new Federal Reserve chairman.
In a post on Truth Social early Friday morning, Trump said that he has “known Kevin for a long period of time, and have no doubt that he will go down as one of the GREAT Fed Chairmen, maybe the best.”
“He will never let you down,” Trump continued.
Warsh previously served on the Fed’s board of governors from 2006 to 2011. He was a top adviser to then-Fed chairman Ben Bernanke during the 2008 financial crisis, serving as a liaison between the central bank and Wall Street. During that time, he was an inflation “hawk” — skeptical of the Fed’s ultra-low interest rate policy. But in more recent interviews, Warsh has heaped praise on Trump and called for “regime change” at the Fed.
On Thursday, Trump said that he had “chosen a very good person” while walking the carpet at the Kennedy Center ahead of the premiere of the documentary about first lady Melania Trump.
Trump said his pick to replace current Chairman Jerome Powell is an “outstanding person and a person that won’t be too surprising to people.”
“A lot of people think that this is somebody that could have been there a few years ago,” Trump went on. “It’s going to be somebody that is very respected, somebody that’s known to everybody in the financial world. And I think it’s going to be a very good choice.”
Trump has repeatedly attacked Powell over the past year for his cautious approach to lowering interest rates.
Powell’s term as chairman expires in May.
Earlier this month, in an extraordinary escalation of the months-long attack on the independence of the Federal Reserve, Powell announced that federal prosecutors had launched a criminal investigation related to a multi-year renovation of the Fed’s headquarters in Washington, D.C.
Earlier this week, at its first meeting since news of the investigation surfaced, the Federal Reserve voted to hold interest rates steady.
Trump said that the Fed governors who voted earlier this week to pause interest rates will change their minds once there is a new chair.
“If they respect the Fed chairman, they’ll be with us all the way,” Trump said. “They want to see the country be great.”
(WASHINGTON) — From New York and New Jersey to California, millions of Americans are voting this fall in multiple states, in several notable local and statewide elections for the first time since last November’s presidential race.
The results from Tuesday’s off-year elections in New Jersey and Virginia — and the New York City mayor’s race — will give voters an opportunity to weigh in on the state of the country and their communities.
ABC News has launched a series of stories and reports across multiple platforms to comprehensively cover the issues at the center of this year’s elections and look ahead at the 2026 midterms.
Tuesday’s elections could hold clues to how Americans view this pivotal moment in the country, and reveal the strengths and weaknesses of each party’s position one year away from the consequential 2026 midterm elections.
And in California, where Democrats have asked voters to approve redrawing the state’s congressional map as part of a national redistricting battle, the results will help shape next year’s fight for the balance of power in Washington and control of the U.S. House of Representatives.
The stakes are high for both parties: A new ABC News/Washington Post/Ipsos poll, conducted using Ipsos’ KnowledgePanel, found that two-thirds of Americans say that the country is “pretty seriously off on the wrong track,” compared to one-third who say it is moving in the right direction.
That figure, while lower than the 75% of Americans who said the same at the same time last year, comes as 6-in-10 Americans blame President Donald Trump for the current rate of inflation.
More than 6 in 10 Americans disapprove of Trump’s handling of the economy, management of the federal government and tariffs — and 64% said he is going “too far” in trying to expand presidential power.
At the same time, 68% of Americans say the Democratic Party is “out of touch with the concerns of most people in the United States today,” compared to 63% who feel the same way about Trump, and 61% who say the Republican Party is out of touch.
Voters will weigh in on the state of the country this fall as the federal government remains shut down, with Democrats locked in a battle with Republicans and the Trump administration over federal spending and health care.
Americans blame both parties for the logjam that is jeopardizing some federal programs and frozen pay for hundreds of thousands of government workers. The message some voters send this week could potentially break the impasse, and jump start talks to reopen the government.
(NEW YORK) — Zohran Mamdani, the state assemblyman and democratic socialist who catapulted to national attention during the 2025 race for New York City mayor, was sworn in at midnight on New Year’s Day 2026 in a ceremony that ushered in historic leadership for America’s largest city, as he becomes the city’s first Muslim mayor and first mayor of South Asian descent.
He took the oath office in during a private ceremony by New York Attorney General Letitia James, in the now-decommissioned original City Hall subway station, which is known for its ornate arches and tiled ceiling.
In a short speech after being sworn in by James, Mamdani said, “This is truly the honor and the privilege of a lifetime.”
He also called the old station a “testament to the importance of public transit to the vitality, the health, the legacy of our city,” as he pivoted to announcing his pick for Department of Transportation commissioner.
Mamdani was sworn in during the midnight ceremony on a centuries-old Qur’an from the New York Public Library’s collections, the library said Wednesday.
Previous New York City mayors have also been formally sworn in at midnight, and can choose what book they use for the ceremony. Outgoing incumbent Mayor Eric Adams was sworn in using a family Bible.
At his public inauguration ceremony, set for 1 p.m. ET Thursday on the steps of New York City Hall, Mamdani will be sworn in by Vermont Sen. Bernie Sanders, a Brooklyn-born independent and fellow democratic socialist who has been an ideological ally.
Rep. Alexandria Ocasio-Cortez, a fellow democratic socialist who represents a swath of the Bronx, will also deliver remarks.
“I think this is an important day for New Yorkers and even for the United States. The Mamdani inaugural on Jan. 1 is going to attract a global audience,” Mitchell Moss, a professor of urban policy at New York University, told ABC News.
Moss said that having Sanders be a part of the inauguration makes a statement “that this is a national event … so I think that [Mamdani is] identifying his ideological roots and his connection to national politics.”
Laura Tamman, a political science professor at Pace University, told ABC News that “Ocasio-Cortez was, similarly to [Mamdani], really underestimated by the Democratic establishment, and has gone on to become a really important leader in the party.”
Mamdani’s transition team has also said that Cornelius Eady, a prolific poet and a National Book Award finalist, will read a new poem at Mamdani’s inauguration, and that the inauguration will include a block party open to the public.
Sen. Chuck Schumer, D-N.Y., the longtime top New York Democrat and the current Senate Minority Leader, is attending the inauguration, a spokesperson for Schumer confirmed to ABC News on Thursday. Schumer never formally endorsed Mamdani during his mayoral campaign.
Mamdani triumphed over independent candidate former New York Gov. Andrew Cuomo and Republican candidate Curtis Sliwa after campaigning largely on making the city more affordable, although he often faced questions over his relative lack of political experience and feasibility of his proposals. His campaign promises included a rent freeze for rent-stabilized apartments, free bus fares and free childcare for children aged 6 weeks to 5 years.
During the campaign, he took stances on policing and public safety more moderate than how he had spoken about policing previously, and committed during his campaign to keeping on New York City’s current police commissioner, Jessica Tisch.
Mamdani will also face the challenge of translating his campaign promises into reality, which will include working with the state government, which controls taxes, and the city council on various city proposals.
At an event on Tuesday with reporters, Mamdani focused largely on administration appointments and the road ahead.
“I will demand excellence from my team, from myself, and also, I will ensure that we create the conditions where that excellence is possible to deliver on,” he said while responding to questions about the city’s Law Department.
Moss said that “no one expects a new mayor to do everything they promise, but they have to be making progress on their promises.”
“So Mamdani has to have some wins this year, which lay the ground for bigger wins in the future. And I think the key part is that he has identified what he wants,” Moss said.
The new mayor will also have to navigate the liberal-leaning city’s relationship with the Republican-controlled federal government. In November, Mamdani met with President Donald Trump in what was widely expected to be a contentious meeting, but ended up being very cordial.
During the meeting, Trump and Mamdani said they agreed on many things, after they had criticized each other for months during the campaign.
“I think you’re going to have, hopefully, a really great mayor; and the better he does, the happier I am,” Trump said at the time.
Neera Tanden, president of the liberal-leaning Center for American Progress, said on ABC’s “This Week” on Sunday that Mamdani “has to get the rents down. He has to make sure the city runs well.”
“But I think a lot of people look at the fact that he was able to get Donald Trump to basically compliment him,” she added.
ABC News’ Ivan Pereira contributed to this report.
Gabrielle Lurie/San Francisco Chronicle via Getty Images
(LOS ANGELES) – One of 2025’s major elections could have major reverberations for the 2026 midterms.
Californians are voting on a ballot initiative, “Proposition 50,” to determine if the state will adopt a new congressional map that redraws five districts to be more Democratic-leaning, potentially allowing Democrats to flip them in the midterms.
Supporters of Proposition 50 — including California Gov. Gavin Newsom and former President Barack Obama — have pushed for the new map.
Texas Republicans, encouraged by President Donald Trump, revised their maps in a rare mid-decade redistricting move that could allow Republicans to gain five seats in 2026 — and insulate the GOP from the historic midterm headwinds a president’s party can face.
“We have a chance at least to create a level playing field in the upcoming midterm elections,” Obama said during a recent call with supporters of the campaign to vote “yes”.
Hannah Milgrom, a spokesperson for Yes on 50, the political committee supported by Newsom, told ABC News that the group has been working with over 230 community organizations on the ground.
National Democrats have largely supported the initiative, hoping it will be the first of other Democratic efforts to push back on Republican-led redistricting in Texas, Missouri, and other states.
But Rep. Kevin Kiley, a California Republican whose district would be reshaped and made significantly more Democratic-leaning, told ABC News partisan gerrymandering is a “plague on democracy,” and has unsuccessfully pushed House Speaker Mike Johnson to take up a bill banning the practice.
“I think it takes power away from voters, undermines the fairness of elections and degrades representative government,” he said.
Spokespeople for two of the political committees opposing Proposition 50, which are supported by megadonor Charles T. Munger Jr. and former Speaker of the House Kevin McCarthy, respectively, told ABC News they were focused in the final weeks before the election on reaching persuadable voters and to emphasizing arguments about allowing voters to choose their politicians, not the other way around.
Actor and former governor of California Arnold Schwarzenegger, who supported independent redistricting as governor, has also spoken out against the proposition. He said in September, “If you vote yes on that, you’re going backwards.”
“Prop 50 will have a big impact on the midterms … the U.S. House margin right now is so narrow that every seat in every state could make a difference for which party controls Congress,” Christian Grose, a professor of political science at the University of Southern California, told ABC News.
If the proposition passes, Grose added, a large margin of support could signal to Democratic donors that there’s enthusiasm for the party — and could impact whether other blue or red states decide to redraw their congressional maps as well.
Grose said Democrats are likely more fired up in part because campaigning towards Democratic voters is how to win with ballot propositions in California, Grose said, but also because of what they see as national stakes: “Democrats, maybe nationally, are viewing things as an existential threat; are viewing Trump as an existential threat. So anything that pushes back against Trump, anything that helps Democrats, is resonating.”
