Ladies and gentlemen, Untold Empire here. 3 days ago, Friday, January 30th, something happened that could change how much interest you earn on your savings account, what rate you pay on your mortgage, and how your 401k performs over the next four years. Donald Trump nominated Kevin Walsh to be the next Federal Reserve chairman. And within hours, gold had its biggest one-day crash since the early 1980s. The dollar had its best day since July. And $6.6 trillion in Federal Reserve assets suddenly had a new boss coming. Whether



you voted red or blue, whether you follow markets or not, this decision affects your money. Let me show you how. Look, this isn't about politics. This is about the guy who controls interest rates. The person who decides whether your savings earn 4% or 2%, whether mortgages stay at 7% or drop to 5%, whether your retirement account grows or stagnates. Kevin Walsh is 55 years old. He served on the Federal Reserve Board before. From 2006 to 2011, he knows the job. But here's what you need to


understand. The decisions he makes over the next four years will directly impact $4.5 trillion in markets. And that includes your money, your savings, your mortgage, your retirement. So, let me break down exactly who this guy is, what he plans to do, and what it means for your wallet. Who is Kevin Worsh? Let me start with the basics. 55 years old, Stanford University graduate, Harvard Law School, started his career at Morgan Stanley as an investment banker. Smart guy, connected guy. 2006, President


George W. Bush appoints him to the Federal Reserve Board of Governors. Worsh is 35 years old, the youngest Fed governor in history. Think about that. 35, running monetary policy for the entire United States. He serves for 5 years, 2006 to 2011. This period includes the 2008 financial crisis, the worst economic disaster since the Great Depression. Worsh is there in the room working alongside Fed Chairman Ben Bernani, helping navigate the crisis. During this time, Worsh earns a reputation. He's considered an inflation


hawk. What does that mean? It means he's more worried about inflation than unemployment. He wants higher interest rates, tighter money supply. He criticizes the Fed's massive bond buying programs. Says they'll cause inflation. Says they're enabling government overspending. 2011, Worsh resigns from the Fed, goes to Stanford, becomes a fellow at the Hoover Institution, a conservative think tank, lectures at Stanford Graduate School of Business. And here's an interesting detail. His


father-in-law is Ronald Lauder, the Estee Lauder cosmetics air, billionaire, major Trump donor, Trump's friend for years. So Worsh has connections to Trump through family, through business circles. They've known each other a long time. 2017, when Trump is looking for a new Fed chair, Worsh is on the short list. Trump interviews him, considers him seriously, but ultimately picks Jerome Powell instead. Now 7 years later, Trump is picking Worsh. Powell's term as chairman expires May 15th, 2026,


and Trump wants Worsh to replace him. On Friday, January 30th, Trump posts on Truth Social, "I have known Kevin for a long period of time and have no doubt that he will go down as one of the great Fed chairman, maybe the best." On top of everything else, he is central casting, and he will never let you down. Central casting. That's Trump's way of saying Worsh looks the part, sounds the part, projects authority. But here's what matters more than his resume or his connections. What does Worsh actually


believe about monetary policy? What will he do as Fed chairman and how does that affect you? The contradiction that has everyone confused. Here's what caught everyone's attention on Friday. Within hours of the announcement, gold crashed, down 5% in one day. That's the biggest one-day drop since the early 1980s. Why? Because markets think Worsh will be tougher on inflation than people expected. And when inflation fears drop, people sell gold. But here's the complication. Worsh's views seem to have


changed. Let me show you the contradiction that has some people worried and others relieved. 2008 to 2011, Worsh is at the Fed. The economy is in crisis. Unemployment hits 10%. The Fed under Chairman Bernani launches quantitative easing, QE, buying massive amounts of Treasury bonds and mortgage backed securities. The goal is to push down long-term interest rates, make borrowing cheaper, stimulate the economy. Worsh opposes this. He votes against it multiple times. He says buying all these bonds will cause


inflation. He says it's enabling the government to spend recklessly. He wants the Fed to focus only on its core mandate, price stability, and maximum employment. Nothing else. He's a hawk. He wants tighter money, higher rates, smaller Fed balance sheet. Now, fast forward to 2025. Worsh interviewed on CNBC in July. He says the Fed has a credibility deficit. He calls for regime change at the Fed. He says the current leadership has failed. And here's where it gets interesting. Worsh is now


aligned with Trump. Trump has been calling for much lower interest rates, saying Powell was too late, cutting rates, calling Powell a fool. Worsh, the former hawk who opposed easy money, is now supporting Trump's calls for lower rates. Senator Elizabeth Warren noticed this. On January 30th, the day of the nomination, she said, "That's exactly what a sock puppet does. If Donald Trump says it, then Kevin Worsh echoes it, even though it contradicts everything he had done for years. Sock puppet. That's


harsh." But it points to the key question. Has Worsh genuinely changed his views? Or is he telling Trump what Trump wants to hear to get the job? Market analysts are split. Some say Worsh's hawkish instincts will reassert themselves once he's chairman. That he'll resist Trump's pressure for low rates if inflation is still a problem. That his independence will show through. Others worry he's already proven he'll bend to political pressure. That Trump wouldn't nominate him unless Worsh


promised to cut rates aggressively. Here's what we know for sure. Worsh has two competing impulses. One, his traditional hawkish views. Control inflation. Shrink the Fed balance sheet. Don't let politicians dictate monetary policy. Two, his alignment with Trump. His family connections. His desire for the job he's wanted since 2017. Which impulse wins? That determines what happens to your money. The $6.6 trillion balance sheet decision. Let me explain the single biggest decision Worsh will


make and why it affects $4.5 trillion in markets. The Federal Reserve currently owns $6.6 trillion in assets. Let me say that again. 6.6 trillion. That's bonds. Treasury securities, mortgage back securities. How did the Fed accumulate all this? Two reasons. 2008 financial crisis. The Fed started buying bonds to push down long-term interest rates. This is quantitative easing, QE. The balance sheet goes from under 1 trillion to over 4 trillion. COVID pandemic 2020. The economy shuts down. The Fed buys even


more bonds. The balance sheet peaks at nearly 9 trillion in 2022. Since then, Powell has been slowly reducing it, letting bonds mature without replacing them. The balance sheet is now down to 6.6 trillion, but it's still massive. Historically massive. Before 2008, the Fed's balance sheet was under 1 trillion. Now it's 6.6 trillion. Worsh thinks this is a problem. He said the Fed's balance sheet is bloated, that it's enabling government deficit spending, that it needs to shrink


dramatically. So here's the question. How fast does Wor shrink it? And what does that mean for markets? If Worsh sells bonds aggressively or lets them mature quickly, that's a lot of supply hitting the market. Bond prices fall, yields rise, interest rates across the economy go up, mortgages get more expensive, car loans cost more, corporate borrowing becomes harder, the stock market faces pressure because higher rates mean lower company valuations. This happened before, 2013. The Fed just hinted that it might start


reducing bond purchases. Markets panicked. This was called the taper tantrum. Bond yields spiked. Stocks crashed temporarily. The Fed had to slow down its plans. If Wors tries to shrink the balance sheet too fast, we could see taper tantrum 2.0. Except bigger because the balance sheet is bigger. Estimates suggest if Worsh successfully reduces the balance sheet by 2 to three trillion over his term and markets react to that process, the total impact could affect four to 5 trillion in asset values


across bonds, stocks, and real estate. That's where the 4.5 trillion number comes from. It's not one specific pool of money. It's the cumulative market impact of Fed balance sheet decisions, interest rate changes, and the ripple effects through the economy. And you're exposed to this. If you own bonds, either directly or through bond funds in your 401k, you're affected. If you own stocks, you're affected. If you have a mortgage or want to buy a house, you're affected. If you have money in a savings


account, you're affected. 4.5 trillion sounds abstract, but it's not. It's your retirement account, your home equity, your savings, your borrowing costs. What this means for your actual money. Let me get specific. How does the Worsh nomination affect your actual money, your savings account? Right now, if you have a high yield savings account, you're probably earning somewhere between 4% and 5% annual percentage yield. That's pretty good. Historically good. Why are rates that high? Because


the Federal Reserve's benchmark rate is currently 4.25% to 4.5%. Banks base their savings rates on the Fed rate. If Worsh cuts the Fed rate, your savings rate drops. Simple as that. If the Fed rate goes down to 2%, your savings account might earn 2.5% or 3%. You earn less on your cash. Now, Worsh's complication is this. Trump wants lower rates. Worsh traditionally opposed lower rates. So, which way does he go? Short-term, he'll probably cut rates somewhat to appease Trump, to stimulate


the economy. Markets are currently expecting two to three rate cuts in 2026. But if inflation stays elevated, if it ticks back up above 3%, Worsh might pause or reverse course because his hawkish instincts kick in. Bottom line for savers, expect rates to come down somewhat. Maybe not as much as Trump wants, but down from current levels. Your savings will earn less. Your mortgage, this is more complicated. Right now, 30-year fixed mortgage rates are around 6.5% to 7%. That's high. Historical average is closer to 5%.


You'd think if Worsh cuts the Fed rate, mortgage rates would drop, too. But it's not that simple. The Fed rate affects short-term borrowing costs. Mortgages are long-term, 30 years. Mortgage rates are based more on long-term Treasury yields and mortgage backed securities prices. And here's the problem. If wars shrinks the Fed balance sheet, the Fed is selling mortgage backed securities. That pushes mortgage rates up, not down. So, you could have this scenario. The Fed cuts its benchmark rate. that helps


short-term borrowing like credit cards and car loans. But mortgage rates stay high or even go up because the Fed is selling MBS. This would be frustrating for potential home buyers. You're waiting for rates to drop so you can afford a house, but they don't drop because of the balance sheet issue. Bottom line for homeowners and buyers, don't expect dramatic mortgage rate relief in 2026. Maybe some improvement, but the housing market will likely stay challenging. Your 401k and stock market


exposure. This depends on two competing forces. Lower interest rates generally help stocks. Companies can borrow cheaper, invest more, grow faster. Stock valuations go up because future earnings are discounted at lower rates. But higher inflation hurts stocks. It squeezes profit margins. Makes everything more expensive. And if the Fed has to raise rates later to fight inflation, that's bad for stocks, too. So Worsh's challenge is cut rates enough to help the economy, but not so much that inflation comes back. If he threads


that needle, stocks do okay, maybe even rally. If he cuts too much and inflation surges, stocks suffer. If he doesn't cut enough and the economy slows, stocks also suffer. Bottom line for retirement accounts, expect volatility. The next 12 months will be bumpy as markets figure out what kind of Fed Chairman Worsh will be. Long-term, it depends on whether he can maintain low inflation while supporting growth. Your job. This is the real world impact people forget. Interest rates affect hiring. If rates


stay high, businesses find it expensive to borrow for expansion. They delay projects, freeze hiring, sometimes lay people off. If rates come down, borrowing gets cheaper, companies expand, hire more, the job market improves. But if rates come down too much and inflation returns, then companies face higher costs for labor and materials. Profit margins shrink. They cut costs, including jobs. So again, balance matters. Worsh needs to find the sweet spot. Low enough rates to keep the economy growing, high enough to


keep inflation under control. Bottom line for workers, your job security over the next few years will partly depend on whether the Fed gets this right. Rate decisions aren't just abstract finance stuff. They affect whether your company is hiring or laying off. The political fight that could derail everything. Now, let me tell you about the political fight that could derail this whole thing. Wars can't become Fed chairman automatically. The Senate has to confirm him. That means hearings before the


Senate Banking Committee, then a vote by the full Senate. Republicans control the Senate, 53 seats to 47. So, you'd think Worsh is a lock, but it's not that simple. Senator Tom Tillis, Republican from North Carolina, is on the banking committee. And on January 30th, he announced he will oppose Worsh's confirmation, at least for now. Why? Because of the DOJ investigation into Jerome Powell. Remember, the Department of Justice is investigating Powell over his congressional testimony about the


Fed headquarters renovation. Tillis says this investigation is inappropriate, political intimidation. Tillis' position is simple. Protecting the independence of the Federal Reserve from political interference or legal intimidation is non-negotiable. He won't vote to confirm Worsh until the DOJ investigation of Powell is resolved. And Senate Majority Leader John Thun, when asked if Worsh can be confirmed without Tillis, said probably not. So, Republicans might not have the votes if Tillis holds firm. If


other Republicans join him, the confirmation could fail. Democrats are also skeptical. Senator Elizabeth Warren calls Wars a sock puppet. Senator Mark Warner says it's difficult to trust that any chair of the Federal Reserve selected by this president will be able to act with the independence required of the position. But here's the thing. Some Democrats might actually prefer Worsh over the alternatives. The other candidates Trump was considering included Kevin Hasset, who's seen as


even more willing to cut rates recklessly. Worsh at least, has traditional Fed experience and credibility, so the Senate math is uncertain. Hearings will happen in February or March. A warsh will be grilled on Fed independence, on Trump pressure, on his flip from hawk to dove. If he convinces enough senators that he'll maintain independence, he gets confirmed. If he seems too willing to do Trump's bidding, he might not. And if Worsh doesn't get confirmed, Trump would have to nominate someone else. Powell's


term expires May 15th. The clock is ticking. And here's what makes this so important for you. If Wars gets confirmed and proves to be independent, markets will stabilize. If he gets confirmed and just does whatever Trump wants, inflation could return. If he doesn't get confirmed at all, months of uncertainty follow. Your retirement account, your savings, your mortgage plans, all in limbo while Washington fights. What markets did on Friday. Let me show you what markets did within hours of the Worsh nomination because it


tells you what smart money thinks. The dollar Bloomberg dollar spot index had its best one-day gain since July, up 0.8%. That's a big move for currencies. Why did the dollar rally? Because markets think wars will be tougher on inflation than expected. Tougher on inflation means higher rates for longer. Higher rates make the dollar more attractive to foreign investors. The dollar had been sliding for a month. Hit lows not seen since 2022. Worses nomination reversed that instantly. Gold massive crash down 5% in one day. Some


reports say it was the biggest one-day drop since the early 1980s. Why? Gold is an inflation hedge. If you think inflation is coming, you buy gold. If you think inflation is under control, you sell gold. Markets interpreted the wash nomination as bearish for inflation. He'll keep it under control, so they dumped gold. Silver crashed even harder, down 13%. Some reports said 30% in certain markets absolutely crushed. Treasury bonds, the 10-year Treasury yield hit 4.24%. That's a key psychological level. 2-year


yields dipped slightly. 30-year yields rose a bit to 4.87%. 87%. What this tells you, markets expect Worsh to keep rates relatively high for a while. Not the aggressive cuts Trump might want, but a more measured approach. Stock market initially down 0.5% but recovered some losses as the details clarified. Stocks don't love high rates, but they don't love uncertainty either. Worsh at least provides some clarity. He's experienced, credible. Markets know what they're getting better than some alternatives.


So, the Friday market reaction was basically relief. Not enthusiasm, but relief. Could have been worse. But here's the key. Friday was just the initial reaction. The real moves happen over the next four years as Wars actually makes decisions, cuts rates or doesn't, shrinks the balance sheet or doesn't, stands up to Trump or doesn't. Those decisions will create the real market impacts. The 4.5 trillion in affected assets, the changes to your savings, your mortgage, your 401k. what


you should do right now. Let me give you practical steps. What should you actually do with this information? First, don't panic. Worsh isn't even confirmed yet. Powell is still chairman. Nothing changes before May 15th at the earliest. You have time. Second, understand your exposure. Look at your retirement accounts. How much is in stocks versus bonds versus cash? If you're heavily in bonds and war shrinks the balance sheet aggressively, bond prices could fall. You might want to rebalance towards shorterterm bonds that


are less sensitive to rate changes. If you're heavily in stocks, expect volatility. But if you're investing for the long term, 10, 20, 30 years, short-term Fed decisions matter less. Don't make drastic changes based on who's Fed chairman. Third, consider your saving strategy. If rates are likely coming down over the next year or two, lock in current high rates where you can. Certificates of deposit. Treasury eyebonds. If inflation stays elevated, don't keep everything in savings


accounts. That will drop when the Fed cuts. Fourth, if you're planning to buy a house, manage your expectations. Mortgage rates probably won't drop dramatically in 2026. Maybe some improvement, but don't count on 6% mortgages becoming 4%. It's not happening soon. If you already have a mortgage, consider whether to refinance if rates do drop a bit. Run the numbers, but don't rush. Make sure the math actually works. Fifth, watch the confirmation hearings. Listen to what Worsh says about independence, about


Trump pressure, about his plans for the balance sheet. His answers will tell you a lot about what's coming. Sixth, diversify. This is always true, but especially now. Don't have all your money in one type of asset. Stocks, bonds, real estate, cash, maybe some commodities. Spread the risk. No matter what Wars does, some of your assets will do okay. Seventh, stay informed. Fed decisions happen at scheduled meetings eight times per year. After each meeting, the Fed releases a statement. The chairman holds a press conference.


Pay attention. The language they use gives clues about future moves. This isn't about timing the market. It's about understanding the landscape and positioning yourself wisely. The bottom line. Let me bring this all together. On Friday, January 30th, 3 days ago, Donald Trump nominated Kevin Worsh to be the next Federal Reserve chairman. Worsh is 55, former Fed governor, experienced, connected to Trump through family and business. He faces a potentially tough confirmation battle. Senator Tillis already opposing,


Democrats skeptical. Hearings in February or March. If confirmed, he takes over May 15th when Jerome Powell's term expires. And the decisions he makes will affect 6.6 trillion in Federal Reserve assets, 4.5 trillion in related market impacts, and most importantly, your money, your savings account interest, your mortgage rate, your 401k balance, your job security. The big questions. Will he maintain Fed independence or bend a Trump pressure? Will he cut rates aggressively or cautiously? Will he shrink the balance


sheet fast or slow? Markets reacted. Friday, dollar up. Gold and silver crashed, bonds mixed, stocks initially down then recovered. But those were just initial reactions. The real story unfolds over the next four years. Here's what you need to know. Worsh is more credible than some alternatives. He has experience. He's not likely to do anything reckless, but he also seems aligned with Trump's desire for lower rates, and that creates tension. Lower rates help borrowers, hurt savers, stimulate the economy, risk inflation.


Your job is to watch how this plays out. Adjust your financial plans accordingly. Don't panic, but don't ignore it either. Subscribe to this channel, hit notifications, because over the next four years, Fed decisions will move markets, change rates, and impact your wealth. Understanding what's happening and why puts you ahead of 99% of Americans who don't pay attention until it's too late. Kevin Worsh might be the next Fed chairman, might not be. But either way, someone will be making these


decisions. And those decisions affect you whether you follow them or not. Better to know what's coming, better to be prepared, better to protect your family's financial future. This is economy meet history. And the history of Fed chairman teaches us one thing. Their decisions have consequences for markets, for the economy, for your money. Please subscribe.