Impending Announcement on Fed Chair
President Donald Trump indicated on Friday that a decision regarding the next Federal Reserve chair will be announced soon. While speaking to reporters on Air Force One, Trump stated, “It’s coming out very soon,” teasing the selection of a new leader for the central bank.
Trump’s View on Interest Rates
Trump also mentioned that a good Fed chair would prioritize lowering interest rates. Earlier in the day, he reiterated his belief that the Federal Reserve should cut interest rates by a full percentage point, further criticizing current chair Jerome Powell for his hesitation in reducing borrowing costs.
Kevin Warsh as a Strong Candidate
When asked about former Fed governor Kevin Warsh, Trump said, “he’s very highly thought of,” suggesting Warsh as a leading candidate for the role of Fed chair. Warsh has been frequently mentioned as a frontrunner for the position, which has sparked speculation about the future direction of U.S. monetary policy.
Trump’s Frustration with Powell
Trump has often criticized Jerome Powell for not implementing more aggressive rate cuts. During a face-to-face meeting last week, Trump told Powell that he was making a “mistake” by not lowering rates as the president had requested.
