Kevin Warsh has been nominated by Donald Trump to be the new head of the US central bank, the Federal Reserve. Warsh, who served as a Fed governor from 2006 to 2011, had re-emerged in recent weeks as a potential choice for the top job as speculation grew over who would replace the under-fire incumbent, Jerome Powell. The appointment is seen as a key moment for the Fed's independence, following Trump's increasing attacks on Powell in recent months. Powell has angered Trump by not cutting interest rates quickly enough, and federal prosecutors recently opened a criminal investigation over testimony Powell gave to the Senate about renovations to Fed buildings. The probe prompted a forceful response from Powell and messages of support from former Fed chairs and central bank heads. Announcing the nomination on Truth Social, Trump said Warsh 'will go down as one of the GREAT Fed Chairmen, maybe the best.' Warsh, a 55-year-old economist, is a fellow at the right-leaning Hoover Institution and serves on the board of UPS. He was considered for Fed chair during Trump's first term. Known for his criticisms of the Fed, he has escalated his rhetoric since emerging as a contender for the position, even calling for 'regime change.' Despite his hawkish reputation previously, he is currently perceived as someone who could advocate for lower rates. Trump's backing suggests a belief that Warsh could help shift Fed policy more in line with his administration's economic goals. However, his appointment must be approved by the Senate, which could encounter delays due to opposition from some members. Republican Senator Thom Tillis has indicated he will block nominees until the legal challenges facing Powell are addressed. Warsh, married to a member of the powerful Lauder family, is positioned as a key figure in the future of US monetary policy, with financial markets watching closely how he balances independence from presidential influence.