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Trump Delays Fed Chair Announcement to Early 2026 After Saying He Has Chosen Successor

Treasury Secretary Scott Bessent has finished vetting five finalists, with markets increasingly expecting Kevin Hassett as the nominee.

Overview

  • At a Cabinet meeting, President Trump said he will reveal his pick for Federal Reserve chair early next year, days after telling reporters he already knows the choice.
  • Trump teased Kevin Hassett at a White House event as a “potential Fed chair,” reinforcing reporting that the National Economic Council director is the frontrunner.
  • Prediction markets assign Hassett the highest odds, with Kalshi near 79% and other platforms favoring him over Christopher Waller, Michelle Bowman, Kevin Warsh and Rick Rieder.
  • Bessent led multiple interview rounds and narrowed the field to five candidates, after previously indicating a pre-Christmas announcement was possible.
  • Powell’s term ends in May 2026, raising the prospect of a high-profile “shadow chair” period and renewed scrutiny of Fed independence as markets parse the nominee’s stance on rate cuts.