U.S. Money Markets: Calm As You Like On Bills Buying

2026-02-03 06:44:00 ET

By Padhraic Garvey, CFA, Regional Head of Research, Americas

All change at the Fed – what does it mean?

The nomination of Kevin Warsh as Federal Reserve Chair is mildly hawkish, as he’s not the outright dove that Kevin Hassett could have been. But then again, Warsh could be seen as less Trump-impacted and thereby more impactful. Even if Warsh did turn out to be a MAGA dove, it’s still unlikely that the overall FOMC turns MAGA dovish. At best, President Trump could turn four board members MAGA dovish – Warsh, Jerome Powell's replacement (only if he leaves), Lisa Cook’s replacement (only if she is fired) and one retirement later in 2026. That’s four at the very best. The rest, which is eight out of 12, would be pure data watchers. Overall, the math suggests that the data will decide on rates, not the president....

Read the full article on Seeking Alpha

For further details see: