Senate Moves to Confirm White House Economist Stephen Milan
The Senate has decided to end discussions regarding the nomination of Stephen Milan, an economist from the White House. In a recent vote, the senators approved his nomination with a tally of 50 to 44, filling the position previously held by Federal Reserve Governor Adriana Kugler, who resigned in August before her term’s conclusion on January 31, 2026.
Interestingly, Alaska’s Republican Senator Lisa Murkowski was the sole GOP member to oppose Milan’s confirmation, aligning herself with all the Democrats supporting it.
Milan’s new role also grants him a vote in the Federal Open Market Committee (FOMC), which is responsible for setting interest rates in the U.S. There are expectations that the FOMC may implement rate cuts on a quarterly basis, primarily due to worries about a potential decline in the labor market. This comes after the committee’s first rate cut since December of the previous year.
President Trump has been vocally urging the Fed to lower interest rates, suggesting that such actions could positively impact the housing market. In a recent social media post, he expressed frustration towards Fed Chairman Jerome Powell for his reluctance to reduce rates, even calling for his resignation.
Milan indicated that he would step down from his position on the White House Economic Advisors Council if he were nominated by Trump for a full term. His nomination arises during a time when the Trump administration sought to dismiss Lisa Cook from her position on the federal board. Cook has been the subject of scrutiny, facing allegations related to mortgage fraud, although no charges have been filed against her yet.
Additionally, a judge appointed by Biden, Jia Cobb, has blocked the Trump administration’s efforts to remove Cook. The Department of Justice is appealing this decision, and the federal appeals court may soon make a ruling on whether Cook can retain her position.
As it stands, it remains uncertain if Cook will participate in the upcoming two-day Fed Policy Committee meeting.
Furthermore, the Senate is anticipated to confirm Milan with the Federal Reserve later this evening.
