ICYMI—Hagerty Joins Squawk Box on CNBC to Discuss Kevin Warsh’s Nomination, Federal Reserve Leadership

WASHINGTON- Today, United States Senator Bill Hagerty (R-TN), a member of the Senate Banking Committee, joined Squawk Box on CNBC to discuss Kevin Warsh's nomination to lead the Federal Reserve, the confirmation process, and the need to restore focus at the Fed.

Partial Transcript

Hagerty on Kevin Warsh's confirmation hearing: "I think Kevin Warsh did an outstanding job. It was a textbook performance. He answered everything. He had actually some very disrespectful questions from the ranking member. And he never let it get under his skin. Steady, disciplined, exactly what you want in a Fed chairman. I think he performed very well."

Hagerty on bipartisan support for Warsh: "There may be other off-ramps that are under discussion [to move out of committee], but one thing that's very obvious, Kevin Warsh has been confirmed in the past on a bipartisan basis. Members of this committee have voted for Kevin Warsh for the Fed Governor before this chairman position. I hope that they'll see the necessity of getting somebody as competent as Kevin into the position, and we can move forward with Democrat votes as well. That shouldn't be off the table, but given the partisan behavior of Chuck Schumer and the leadership, you think about shutting down the government in the fall for such an extended record-breaking period of time, what they've done to the Department of Homeland Security. I think it's a reasonable question whether he'll be seated, but I certainly hope that everybody will come to their senses and realize that Kevin is the man for the moment. He's the person to bring the Fed back into its lane and get our economy moving in the right direction."

Hagerty on bipartisan paths through committee: "Of course, it's possible. The ranking member doesn't indicate any, don't hold your breath. I wouldn't hold my breath. But it's certainly possible. I passed the GENIUS Act out of the same committee with completely bipartisan support. Senator [Elizabeth] Warren was against it, but she held five Democrats with her. Five Democrats came over and voted with me and all the Republicans to pass the stablecoin legislation, the GENIUS Act, just last year. It is certainly possible to get a bipartisan result here."

Hagerty on Jay Powell's future at the Fed: "It's not typical. And if I were in Jay's shoes, certainly I'm not, but if I were, it would be a good time to go ahead and depart. As was said earlier, it's probably not going to be a very pleasant environment to stick around again. I think we need to get a new chairman into position. Kevin is ready to do it. He's the man for the moment. As I said yesterday, my view is let's get it on. Let's move forward."

Hagerty on whether Powell could stay on the Board: "He should be allowed. I think it would be Jay Powell's choice to do that. Again, historically, that's not been the case. This is typical in most [of] corporate America, when a CEO and chair retires, they generally give the new person, the new leader, the runway to move forward. And I think that would be the appropriate thing to do. But again, it'll be up to Chairman Powell."

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