Trump Considers Early Replacement of Federal Reserve Chairman Powell Amid Rate Cut Frustration
Washington D.C. – U.S. President Donald Trump is reportedly contemplating an accelerated timeline for announcing his pick to replace Federal Reserve Chairman Jerome Powell, fueled by frustration with the central bank’s cautious approach to cutting interest rates. Powell’s current term still has 11 months remaining.
Sources speaking to The Wall Street Journal indicate Trump has discussed potentially naming a successor as early as September or October, though the possibility of an proclamation even sooner this summer exists due to the President’s increasing dissatisfaction with Powell’s leadership .
Several individuals are reportedly under consideration for the role, including:
Kevin Warsh: Former Federal Reserve Governor.
Kevin Hassett: Director of the National Economic Council.
Scott Besent: U.S. Finance Minister, reportedly pushed by allies of the President.
David Malpass: Former World Bank President.
* Christopher Waller: current Federal Reserve Governor.
An early announcement – potentially months ahead of the typical three-to-four month transition period – could allow the prospective chairman to influence investor expectations regarding future interest rate policy before Powell’s term concludes.
The White House has stated that the Federal Reserve should pursue a “growth-oriented monetary policy,” emphasizing the need to support the economic revival through complementary policies .
Chairman Powell has maintained that political considerations do not influence the fed’s decisions, particularly as the central bank navigates concerns about inflation and the potential impact of tariffs on prices.He emphasized the high stakes of making the wrong policy choices, warning of potential costs to the public .
