Kevin Warsh, the nominee to lead the U.S. Federal Reserve, has successfully advanced through a key procedural hurdle in the Senate Banking Committee, receiving unanimous support from Republican members after North Carolina Senator Thom Tillis dropped his opposition. This shift followed the Department of Justice's decision to end a criminal investigation into current Fed Chair Jerome Powell, which Tillis had viewed as a threat to the Fed's independence. The committee's vote was strictly partisan, with all 11 Democrats opposing Warsh due to concerns about his commitment to independent policy-making. Warsh, a former Fed governor and lawyer, has expressed intentions for 'regime change' at the central bank, aligning with President Trump's calls for rate cuts. The earliest the full Senate could vote on Warsh's nomination is the week of May 11, potentially allowing him to be sworn in by May 15, coinciding with the end of Powell's term. However, it remains unclear if Powell will leave the Fed entirely or remain on the Board of Governors, especially after he stated he would not resign until the investigation concluded. This situation could lead to further political tensions, as Powell's board seat extends to January 2028, and any attempt by Trump to dismiss him could result in legal challenges.