Trump’s Top Picks for Fed Chair: Warsh and Hassett
However, in a surprise twist, President Donald Trump has revealed that Kevin Hassett and Kevin Warsh are his top contenders to lead the US Federal Reserve.
According to the Wall Street Journal, Trump expressed his admiration for the two Kevins, stating, “I think the two Kevins are great.”
Trump’s Views on Interest Rates
Meanwhile, Trump shared his thoughts on interest rates, suggesting that they should be lower, with a target of 1% and possibly lower.
Consequently, this move would upend the tradition of the Fed’s independence, as Trump expects the next Fed chair to consult with him on interest rates.
Trump’s Assertive Stance on the Fed
In addition, Trump has been vocal about his frustration with the Fed’s decision to not lower borrowing costs aggressively under Chair Jerome Powell.
Therefore, Trump’s comments suggest that he plans to assert more control over the central bank in his second term.
Next Steps in the Fed Chair Search
However, it’s unclear if Trump plans to interview other candidates for the job, as he met with Warsh on Wednesday.
Therefore, the selection process remains in flux, with Trump expecting to make a choice over the next few weeks.
Source: Link
