JPMorgan says Fed Chair Kevin Warsh needs to spend more time with Congress to keep his gig

Fed Chairman Kevin Warsh may want to restructure his calendar for 2027 to schedule one fewer call with the president and spend less time on executive-level thinking about which committee he wants to create next.

In place of all this, Warsh should spend more time walking the halls of Congress chatting up newly elected Democratic members of Congress if he doesn't want to be a one-term Fed chair, the team at JPMorgan said in a spicy new hot take.

"Chair Warsh's term as Fed chair ends in May 2030," JPMorgan strategist Michael Feroli said. "While there's another election between now and then, last night [Election Day] increased the odds his term will end with Democratic control of the Senate. Unless he wants to be a one-term chair, Warsh will need to spend less time looking out the window and more time walking the halls of Congress."

"In fact," Feroli added, "this was one of the few pieces of advice Powell publicly gave to his successor: 'Our window into democratic accountability is Congress. And it's not a passive burden for us to go to Congress and talk to people. It's an affirmative, regular obligation.'"

Warsh — appointed by President Trump — assumed the Fed chair position in May, and brought with him a grand plan to overhaul Fed policy.

He quickly made waves at his inaugural June FOMC meeting by slashing forward guidance and shortening the Fed's rate decision statement.

His first signature policy move came in September, when he orchestrated a 25 basis point interest rate hike to take the federal funds target range to 3.75% to 4%.

Following the Fed's October hold on interest rates, Warsh delivered a resolute message to global markets, vowing that the Fed will achieve its 2% price stability mandate with "no ifs, ands, or buts."

Follow Brian Sozzi on X @BrianSozzi , Instagram , and LinkedIn . Tips on stories? Email him at brian.sozzi@yahoofinance.com.