Trump's Fed pick, Stephen Miran, inches forward in the Senate

The Senate Banking Committee on Wednesday advanced President Trump's choice to fill a vacancy on the Federal Reserve Board of Governors.

The 13-to-11 party-line vote puts Stephen Miran, the chairman of the White House Council of Economic Advisers, on track for confirmation as Mr. Trump tries to reshape the central bank to his liking.

Mr. Miran would fill a board vacancy left by Adriana Kugler, a Biden appointment.

"Dr. Miran is ready to step into this role that is critical to advancing opportunity, promoting accountability and protecting American prosperity," Committee Chairman Tim Scott, South Carolina Republican, said.

Democrats objected to the nomination, saying Mr. Trump is trying to stock the Fed with loyalists instead of ensuring the banks' political independence.

Mr. Trump is trying to fire another Biden-appointed Fed governor, Lisa Cook, over allegations she committed mortgage fraud in 2021. A federal judge put her ouster on hold pending the outcome of her lawsuit against the firing.

If Mr. Miran were confirmed and Ms. Cook replaced, it would give the White House a Trump-appointed majority on the Fed board while it urges the central bank to lower interest rates.

Senior Democrats object, in particular, to Mr. Miran's plan to take leave from his White House job instead of resigning. He is filling the remainder of a term that runs through January, and Mr. Miran said he was advised to take leave because it's unclear if he would get a longer term on the Fed.

Mr. Miran's "so-called leave of absence is a bad joke. He will be sitting down the street from the White House," Sen. Elizabeth Warren, Massachusetts Democrat, said. "He knows that every vote he takes determines whether he can go back to his White House job. That is not independence. That is servitude."

The Fed has been reluctant to bow to Mr. Trump's wishes and slash interest rates, fearing inflation from his ever-changing tariff plans.

Mr. Trump has pointed to recent inflation reports that show prices aren't skyrocketing despite doomsday predictions about his trade agenda.

The Fed is expected to cut rates at its September meeting due to a slowdown in hiring.