Kevin Warsh, President Donald Trump’s pick to lead the Federal Reserve, is set to deliver a pointed message to lawmakers Tuesday: the Fed must stay independent on interest rates, but not above accountability.

In prepared remarks obtained by FOX Business, Warsh vows to keep monetary policy “strictly independent,” while making clear the central bank should not operate unchecked across its broader responsibilities.

“The Fed must stay in its lane. Fed independence is placed at greatest risk when it strays into fiscal and social policies where it has neither authority nor expertise.”

The warning reflects Warsh’s broader push to rein in what he sees as an overextended central bank.

TRUMP’S FED PICK DISCLOSES $131M FORTUNE AS NOMINATION FACES HEADWINDS

At the same time, he opens the door to closer coordination with elected leaders, pledging to work with the White House and Congress on non-monetary matters – an approach that could reshape how the Fed operates in Washington.

Warsh, nominated to replace Jerome Powell, also takes aim at what he sees as a complacent central bank. He warns that large institutions are prone to inertia – and that clinging to the “status quo” in a fast-moving economy is not just outdated, but dangerous.

Calling this a “consequential” moment for the U.S. economy, Warsh argues a “reform-oriented Federal Reserve” is urgently needed – and suggests the stakes for everyday Americans couldn’t be higher.

His potential ascent comes at a turbulent moment for the central bank.

The Federal Reserve is facing pressure on multiple fronts, including a Justice Department criminal probe involving Chair Jerome Powell, a Supreme Court case weighing limits on the Fed’s independence, and persistent cost-of-living concerns testing Trump’s economic agenda.

FEDERAL RESERVE CHAIR POWELL UNDER CRIMINAL INVESTIGATION OVER HQ RENOVATION

A former Fed governor, Warsh revives a long-running critique: the central bank has drifted too far from its core mission. His message is blunt – “stay in its lane.”

That includes steering clear of politically charged areas like climate policy and broader social goals, which he has previously criticized as an expansion beyond the Fed’s core mandate.

But his sharpest warning is reserved for inflation.

“Low inflation is the Fed’s plot armor,” Warsh says, arguing that recent price spikes have inflicted “grievous harm” on Americans – especially those least able to afford it. Rising costs, he warns, don’t just hit wallets – they risk eroding public trust in the broader system of economic governance.

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Warsh, like Powell, is not an economist by training but brings a background in law and finance that has shaped his views on the central bank. 

A former Morgan Stanley banker, he became the youngest member of the Fed’s Board of Governors in 2006 and later served as a key liaison to Wall Street during the 2008 financial crisis. He also served in the Bush administration as a special assistant to the president for economic policy.

Kaynes Technologies’ sharp 43% slide from its October peak, capped by a steep 12.5% drop on Friday, has raised questions about whether the stock is approaching a reversal zone or slipping into deeper losses. While momentum indicators remain firmly bearish, its stretched gap from the 200-day moving average suggests potential mean-reversion opportunities for tactical investors.

Edited excerpts from a chat with Anand James, Chief Market Strategist, Geojit Investments Limited:

After a flat week, how would you trade the market now? Would Friday’s RBI optimism carry forward on Monday as well? Friday’s optimism stemmed from the completion of a morning star pattern, signaling a potential reversal from the downtrend that began on December 1. However, while the downswing was brief, the reversal is also likely to be short-lived, as evidenced by Friday’s stall at 26,200, a key congestion resistance.

Although oscillators support a possible uptrend extension, we do not see sufficient momentum for a strong move higher. We favor a swing lower toward 26,085–26,065 initially. Alternatively, a breakout above 26,200 could trigger further gains toward 26,460–26,550, but a sharp vertical rise is less likely.

IT was among the major gainers in the week. Do you see chances of more upside?

Yes, the IT sector shows strong potential for further upside. Nifty IT has been signaling a reversal since September and recently broke above the weekly supertrend, indicating strength. The weekly RSI near 60, along with the index closing above its 20-week high, reinforces the positive outlook. Based on these technical cues, the index could target 39,500 in the coming weeks.
Derivative data also supports this bullish view. Over 50% of constituent stocks saw short additions in near OTM put strikes and long additions in call strikes. Additionally, 70% of stocks experienced long build-up on Friday, while 80% recorded weekly short covering, suggesting traders are positioning for further gains. Heavyweights like TCS, Infosys, HCL Tech, Wipro, and Tech Mahindra show strong weekly charts and are expected to lead the rally toward 39,500.PSU banks were under selling pressure but recovered on Friday. Does the chart indicate a fresh 52-week high again going forward?

Even though the index saw a pullback on Friday, the charts suggest a mixed outlook. The wedge pattern breakout in September and the resulting upside has been losing momentum since November. The recent breakdown below the rising trendline near 8,500 indicates a possible short-term trend shift, while the weekly MACD shows exhaustion candles, signaling early signs of consolidation. Despite this, longer-term charts still reflect underlying strength, keeping the possibility of a fresh 52-week high alive.

Derivatives data shows some recovery attempts on Friday, with long additions and short covering in stock futures, but weekly data indicates that more than half of the positions still involved short additions. Among individual stocks, SBI, Bank of Baroda, PNB, Union Bank, Canara Bank, and Indian Bank may see a quick pullback early next week, though sustainability remains uncertain. The preferred strategy is to capitalize on any early upside next week while remaining cautious in the latter half.

Kaynes ended the week down 21% amid negative reports. Do you see chances of an upside bounce or is it too risky to chase the falling knife?

Kaynes has now fallen 43.5% from its October peak, with Friday’s 12.5% decline marking the steepest single-day drop during this period. Momentum indicators and oscillators point to a strong downward trend with no signs of bearish exhaustion, raising the risk that the slide could extend to at least the year’s low of Rs 3,825 seen in February. That said, the severity of Friday’s fall suggests that fear may have peaked.

Adding to this view, the only previous occasion the stock had stretched so far from its 200-day moving average was in April, when the gap was around 25%. Currently, the stock is nearly 26% away from the 200-day SMA, prompting close monitoring for potential mean-reversion moves in the coming week. Given the contrarian nature of this view, the downside marker is advised slightly below Rs 4,300, with Rs 4,541 as the initial recovery target.

Give us your top ideas for the week ahead.

COFORGE (CMP: 1977)

View: Buy

Target: 2080-2180

SL: 1882

The stock has been in a steady uptrend since 2020 and is currently forming a Cup and Handle pattern on the charts. It is attempting a breakout from this formation, supported by a weekly RSI near 60 and a MACD above the signal line. The price action remains strong, trading well above the 20-, 50-, and 100-day moving averages, reinforcing the bullish outlook. The stock is expected to move toward Rs 2,080 and Rs 2,180 in the near term. Long positions should be protected with a stop-loss placed below Rs 1,882.

ABCAPITAL (CMP: 358)

View: Buy

Target: 368-377

SL: 348

The stock has maintained a strong uptrend since February 2025 and continues to show strength on both daily and weekly charts. The weekly MACD remains above the signal line, and the price is trading comfortably above the 20-, 50-, and 100-day moving averages, reinforcing the bullish outlook. The stock is expected to move toward Rs 368 and Rs 377 in the near term. All long positions should be protected with a stop-loss placed below Rs 348.

Most investors have heard that investing in the S&P 500 is one of the best ways to create long-term wealth. It’s probably the default option in their workplace retirement plan. Even a lot of self-directed investors will put their money in the Vanguard S&P 500 ETF or the iShares Core S&P 500 ETF and call it a day. There’s a reason, after all, that these are the two largest ETFs in the world, with more than $1.6 trillion in assets combined.

The S&P 500 is many people’s only investment. That can create some problems because it leaves a whole slew of asset classes unrepresented. Including them can enhance growth opportunities, mitigate downside risk, or create a regular income stream. Without any of that to complement it, the high-tech concentration or the growth tilt of the index could mean too much volatility.

Key takeaways

• The S&P 500 has delivered a roughly 10% average annual return over the long term, making it a more than adequate core retirement holding.
• The top 10 holdings account for around 38% of the index. That makes it concentrated and heavily exposed to a handful of tech stocks.
• Holding just the S&P 500 means you’re excluding small caps, international stocks, fixed income, gold, and crypto. These asset classes offer important diversification benefits.
• An S&P 500 ETF is sufficient as a core portfolio holding, but retirement portfolios should have more balance.

US ETF ASSETS UNDER MANAGEMENT TO MORE THAN DOUBLE TO $25T BY 2030, CITIGROUP SAYS

Ticker	Security	Last	Change	Change %
GSPC	NO DATA AVAILABLE	–	–	–
VOO	VANGUARD S&P 500 ETF – USD DIS	652.78	+7.92	+1.23%
IVVV	NO DATA AVAILABLE	–	–	–

The case for owning only the S&P 500

It would be easy to look at the returns of the S&P 500 over the past 10 to 15 years and come to the conclusion that it’s the only investment you need. Thanks to its heavy concentration in the “Magnificent Seven” stocks, it has outperformed most sectors, styles, and themes over that time.

But setting aside the performance numbers, the S&P 500 includes many of the best companies the U.S. economy has to offer. It owns companies such as Apple, Microsoft, Amazon, Walmart, JPMorgan Chase, ExxonMobil, Johnson & Johnson, and Visa. These companies produce billions of dollars in cash flow, generate huge revenues, and have been around for decades. They’re the cornerstones of the economy and will likely be around for many more decades.

GOLDMAN SACHS COMPLETES INNOVATOR CAPITAL ACQUISITION, LIFTING ETF ASSETS TO $90B

These are exactly the kinds of high-quality companies that can make a great portfolio.

Ticker	Security	Last	Change	Change %
AAPL	APPLE INC.	270.23	+6.83	+2.59%
MSFT	MICROSOFT CORP.	422.79	+2.53	+0.60%
AMZN	AMAZON.COM INC.	250.56	+0.86	+0.34%
WMT	WALMART INC.	127.50	+2.68	+2.15%
JPM	JPMORGAN CHASE & CO.	310.29	+0.34	+0.11%
XOM	EXXON MOBIL CORP.	146.44	-5.54	-3.65%
JNJ	JOHNSON & JOHNSON	234.18	-0.36	-0.15%
V	VISA INC.	317.02	+1.92	+0.61%

The case for owning more than the S&P 500

While the S&P 500 is unquestionably a great index to invest in, it’s also incomplete.

VANGUARD FUND STRIPS OUT CHINA IN EMERGING MARKETS INVESTMENT PLAY

Here’s what investors are missing out on by investing only in the S&P 500:

• Small- and mid-caps: The Vanguard Total Stock Market ETF (NYSEMKT: VTI), which invests in the entire U.S. equity market, holds about 3,500 stocks. The 3,000 stocks not held by the S&P 500 represent about 25% of the entire U.S. equity market capitalization. Small and mid caps have an entirely different sector allocation and cyclical exposure. Omitting them means missing out on a big chunk of the U.S. economy.
• International stocks: As we’ve seen over the past year, foreign stocks can perform very well when U.S. stocks stall. They, too, have a different economic composition and are sensitive to different factors than U.S. companies.
• Fixed income: Bonds may be boring, but they can balance out portfolio risk and provide an important income component. As workers get closer to retirement, relying more on fixed income for safety and income becomes more important.
• Gold: Precious metals typically perform well during inflationary periods and geopolitical disturbances. They traditionally have a very low correlation to stocks, which makes them a great risk reducer.
• Crypto: Bitcoin and other stablecoins have become a legitimate asset class. Adding crypto as even a small piece of a broader asset allocation makes some sense.

Ticker	Security	Last	Change	Change %
VTI	VANGUARD TOTAL STOCK MARKET ETF – USD DIS	349.86	-0.66	-0.19%

Holding more than just U.S. large-cap stocks lets you participate in different market cycles, helps smooth out overall portfolio volatility, and can help build a portfolio more suited to your goals and risk tolerance.

Investors should own more than just the S&P 500

The S&P 500 is a great core investment, but you need more.

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I’m a big advocate of diversification and looking for ways to mitigate risk exposure. Adding different asset classes helps accomplish this. In most cases, it’s not about trying to pick winners. Simply buy the global economy and let the long-term power of compounding do the work for you.

JPMorgan Chase is an advertising partner of Motley Fool Money. David Dierking has positions in Apple and Vanguard Total Stock Market ETF. The Motley Fool has positions in and recommends Amazon, Apple, JPMorgan Chase, Microsoft, Vanguard S&P 500 ETF, Vanguard Total Stock Market ETF, Visa, and Walmart and is short shares of Apple. The Motley Fool recommends Johnson & Johnson. The Motley Fool has a disclosure policy.

Wall Street Horizon provides institutional traders and investors with the most accurate and comprehensive forward-looking event data including earnings calendars, dividend dates, option expiration dates, splits, investor conferences and more. Covering 9,500 companies worldwide, we offer more than 40 corporate event types via a range of delivery options. By keeping clients apprised of critical market-moving events and event revisions, our data empowers financial professionals to take advantage of or avoid the ensuing volatility.

Guwahati: Chief Minister Himanta Biswa Sarma on Sunday said the seat-sharing arrangement within the NDA for the Assam assembly elections was a “done deal”.

Among the NDA constituents in the state, the BJP, Asom Gana Parishad (AGP), United People’s Party Liberal (UPPL) and Bodoland People’s Front (BPF) have members in the assembly. Rabha Hasong Joutha Sangram Samiti (RHJSS) and Janashakti Party (JP) are also part of the NDA, but they do not have any MLAs.

“Our NDA alliance is complete. We know who will contest where; it is a done deal. There is no issue in stitching the alliance,” Sarma told reporters at the state BJP headquarters.

“After every process is complete, the state leadership will meet Union Home Minister Amit Shah with the list of probable candidates,” he added.

On January 7, Sarma had said the BJP was likely to formalise its seat-sharing agreement with its allies by February 15.

On December 5 last year, he had said the finalisation was expected to be over by January 15.
The elections for the 126-member assembly are expected to take place in March-April. This will be the first election after the delimitation exercise, done in 2023.Post delimitation, many seats and their geographical boundaries have been changed, while some non-reserved seats were reserved and vice versa. This has led to complications within the ruling and opposition coalitions.

At present, the BJP has 64 members in the assembly, while AGP has nine, UPPL has seven, and the BPF has three.

In the opposition camp, the Congress has 26 MLAs, AIUDF has 15, and CPI(M) has one. There is one Independent legislator as well.