Trump says he will announce a replacement for Powell as Fed Chairman Friday morning
Trump says he will announce a replacement for Powell as Fed Chairman Friday morning
Key Points:
The process of selecting Powell’s replacement began in September with an 11-person group that comprised former and current Fed officials, economists, and Wall Street financial professionals.
The final four are expected to be former Fed Governor Kevin Warsh, National Economic Council Director Kevin Hassett, current Fed Governor Christopher Waller, and BlackRock’s senior investment officer for fixed income, Rick Rieder.
President Donald Trump said Thursday that he will appoint a new Federal Reserve head on Friday.
Speaking at the screening of “Melania,” a film about first lady Melania Trump, the president announced that the process of selecting his successor to current Chair Jerome Powell, which began last summer, is nearing completion.
When asked if he had made a decision, he said, “I do, I better, otherwise I have to go to work very quickly.”
The process of selecting Powell’s replacement began in September with an 11-person group that comprised former and current Fed officials, economists, and Wall Street financial professionals.
Treasury Secretary Scott Bessent examined the qualifying candidates, reducing the list to five, then four.
The final four are expected to be former Fed Governor Kevin Warsh, National Economic Council Director Kevin Hassett, current Fed Governor Christopher Waller, and BlackRock’s senior investment officer for fixed income, Rick Rieder.
Prediction markets have wagered on who will receive the job. Hassett led for a while, followed by Warsh and, recently, Rieder.
However, that changed Thursday evening, with Kalshi now rating Warsh as a prohibitive 80% favorite.
Trump further stated that the choice is “somebody who could have been there a few years ago.” Warsh was reportedly in the running when Trump opted to nominate Powell in 2017.
According to an administration source, Warsh visited the White House on Thursday. However, a White House official downplayed the speculation.
“President Trump will make an announcement regarding his candidate for the Federal Reserve at the proper time. ” Any and all coverage of the Federal Reserve Chairman nominations process until then is a waste of everyone’s time,” said White House spokesperson Kush Desai.
Powell, for his part, declined to answer concerns about whether he will continue as chair after his tenure ends in May. Powell has the option of fulfilling the remaining two years of his governorship term.