Trump Narrows Fed Chair Search to Four, Bessent Excluded/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ President Trump has narrowed his Federal Reserve chair search to four candidates, excluding Treasury Secretary Scott Bessent. Kevin Hassett and Kevin Warsh are leading contenders as Trump continues criticizing current chair Jerome Powell. The final choice could significantly shape U.S. economic policy post-2026.
Trump’s Fed Chair Shortlist Quick Looks
- President Trump is reviewing four potential candidates to succeed Fed Chair Jerome Powell.
- Kevin Hassett and Kevin Warsh are among the leading names being considered.
- Treasury Secretary Scott Bessent has opted to remain in his current role.
- Trump criticized Powell as being “too late” on rate cuts.
- Powell’s term ends in May 2026, but Trump has considered early replacement.
- Adriana Kugler’s resignation opens an additional Fed Board seat for Trump.
- Trump says he’ll announce a new governor “before the end of the week.”
- Hassett supports Trump’s tax and trade policies and has a strong academic background.
- Warsh advocates for lower rates and major Fed structural changes.
- Trump’s pick could define future Fed independence and rate policy.
Trump Narrows Fed Chair Search to Four, Bessent Excluded
Deep Look
In a move that could reshape the direction of the U.S. economy, President Donald Trump confirmed Tuesday that he has narrowed down the list of candidates to replace Federal Reserve Chair Jerome Powell to just four individuals. Among the names confirmed are Kevin Hassett and Kevin Warsh, two economists with close ties to conservative fiscal policy and Trump’s economic agenda.
The announcement, made during a CNBC appearance on “Squawk Box,” comes as Trump remains vocally critical of Powell’s handling of interest rates and monetary policy. “Kevin and Kevin, both Kevins, are very good,” Trump remarked, referring to Hassett and Warsh.
Notably absent from the shortlist is Treasury Secretary Scott Bessent. Trump explained Bessent had declined consideration, preferring to continue serving in his current position.
“I love Scott, but he wants to stay where he is,” Trump told CNBC.
Trump’s impatience with Powell is well-documented. He has repeatedly attacked the chair for what he views as delayed interest rate cuts and sluggish economic responses. Dubbed “too late” by Trump, Powell has become a focal point of Trump’s campaign to realign the Federal Reserve’s policies with more aggressive rate reductions.
The president hinted that a final decision on Powell’s replacement—or possibly a new board member—will come soon. With Powell’s term ending in May 2026, Trump still has time to appoint a successor, but insiders suggest he may act sooner.
Adriana Kugler’s recent resignation from the Fed’s Board of Governors gives Trump another key opportunity. Speaking to CNBC, Trump called her exit “a pleasant surprise,” and noted he could potentially appoint someone to temporarily fill Kugler’s vacancy or nominate a longer-term successor who could ascend to the chair position.
“I’ll be making that decision before the end of the week,” Trump confirmed.
Here’s a closer look at the two front-runners:
Kevin Hassett: The White House Insider
Currently serving as Director of the National Economic Council, Hassett is one of the most trusted economic advisors within Trump’s inner circle. He previously chaired the Council of Economic Advisers during Trump’s first term and has consistently supported key elements of the Trump economic platform, including tax cuts, tariffs, and staffing shifts such as the controversial dismissal of Bureau of Labor Statistics Commissioner Erika McEntarfer.
With a Ph.D. in economics from the University of Pennsylvania, Hassett also spent years at the conservative American Enterprise Institute and later became a fellow at the Hoover Institution at Stanford University. His public statements suggest loyalty to Trump and a belief that many in the federal bureaucracy have resisted Trump’s agenda.
Hassett has also been active in criticizing the Fed’s caution on rate cuts. His academic and policy credentials, paired with his insider status, make him a natural contender for chair.
Kevin Warsh: The Reform-Minded Critic
Warsh, a former Federal Reserve governor, has emerged as one of the most vocal critics of current Fed leadership. Since stepping down from the Fed in 2011, Warsh has positioned himself as an advocate for major central bank reform.
Appearing frequently on conservative media, Warsh has echoed Trump’s frustration with Powell.
“The president’s right to be frustrated with Jay Powell and the Federal Reserve,” Warsh said during a recent Fox News appearance. He has also called for a reimagined Treasury-Fed accord similar to one crafted in 1951, designed to realign central bank independence with fiscal goals.
Warsh’s critique centers on what he calls the Fed’s failure to act swiftly on rate cuts post-pandemic.
“The specter of the miss they made on inflation… has stuck with them,” he told CNBC. “We need regime change in the conduct of policy.”
Trump has publicly praised Warsh as “very highly thought of,” reinforcing speculation that Warsh may be the frontrunner for the job.
As Trump nears a final decision, economists and political analysts alike are watching closely. A change in Fed leadership, especially to someone aligned more closely with Trump’s aggressive monetary views, could shift U.S. interest rate policy dramatically and raise broader concerns about central bank independence.
Regardless of who gets the nod, Trump’s next Fed appointment will have long-term implications for both his economic legacy and the nation’s financial future.
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