Markets experienced significant volatility on Friday amid speculation that Kevin Warsh, a former Federal Reserve governor, might be appointed as the new Fed Chair. Investors are uncertain about Warsh's potential impact, as his policy stance appears contradictory. While he advocates for faster interest rate cuts, he also supports reducing the Fed's balance sheet, a move that could drain liquidity. This uncertainty led to sharp market reactions, with silver prices plummeting over 30% and gold dropping 11%, marking their worst days since 1980. The U.S. Dollar Index rose 0.9%, and 10-year Treasury yields increased to 4.24%. The S&P 500 fell 0.4%, and the Russell 2000 dropped 1.5%. Despite market concerns, some investors view Warsh as a pragmatic choice, capable of maintaining the Fed's independence and navigating economic challenges.