Karen Moscow

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I'm Karen Moscow, and we have the latest look at inflation in just a moment.

But first, reaction to President Trump's plans to nominate Kevin Warsh to lead the Federal Reserve continues to come in.

Warsh would replace current chair Jerome Powell when his term expires in May.

Trump chose Powell to lead the Fed in 2017, but this year has relentlessly assailed him for not cutting interest rates quickly enough.

Brian Gardner is chief Washington policy strategist at Stifel.

And that's Brian Gardner of Stiefel.

Now, the appointment amounts to a return trip for Warsh, who was a member of the Fed's board from 2006 to 2011.

His nomination will also require Senate confirmation, which could be complicated by a recently announced Department of Justice probe into the central bank.

Republican Senator Tom Tillis has pledged to withhold support for any Fed nominee until the legal matter was settled.

He reiterated that stand this morning while appearing as a guest on Bloomberg Television.

And North Carolina Senator Tom Tillis is a member of the Senate Banking Committee.

Now to that breaking economic news.

Crossing the Bloomberg U.S.

wholesale inflation increased in December by more than forecast, reflecting higher costs for services.

The producer price index rose half percent after a two-tenth percent gain in the prior month.

And excluding food and energy, the PPI jumped seven-tenths of a percent.

President Trump has reached a tentative deal with Senate Democrats to avert a government shutdown over the aggressive immigration enforcement in Minneapolis, but it probably will not pass before a funds lapse tonight.