Trump Says Next Federal Reserve Chair Likely Warsh Or Hassett: 'I Think The Two Kevins Are Great'

The competition to lead the central bank of the United States appears to have narrowed down to two primary candidates.

The Front-Runners: “The Two Kevins”

Speaking with The Wall Street Journal from the Oval Office on Friday, President Donald Trump indicated he is deciding between National Economic Council Director Kevin Hassett and former Federal Reserve governor Kevin Warsh.

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While recent speculation positioned Hassett as the likely victor, the President's latest remarks suggest the race is far from decided.

He praised both men, but noted that Warsh currently sits very high on his list of potential nominees.

"Yes, I think he is. I think you have Kevin and Kevin. They're both—I think the two Kevins are great," Trump said. "I think there are a couple of other people that are great."

Hassett, who holds a doctorate in economics and has served the administration across multiple terms since 2017, recently downplayed betting market rumors that labeled him the presumptive choice.

Policy Alignment and Presidential Influence

A major criterion for the appointment is alignment on monetary loosening. During a forty-five-minute strategy session at the White House last Wednesday, the President reportedly questioned Warsh specifically regarding his willingness to lower borrowing costs.

Trump later confirmed this exchange, noting that Warsh agrees with the necessity of rate reductions.

The president also outlined a shift in how he views the relationship between the White House and the Fed.

He argued that the agency’s leader ought to consult with him regarding interest rate adjustments. While acknowledging the Chair isn’t required to follow his directives, Trump insisted his perspective as a “smart voice” merits consideration.

Trump stated that his economic goal is to push rates down to 1% or less, arguing that the U.S. should have the lowest borrowing costs globally to manage the financing of $30 trillion in national debt.

Market Context

The deliberation occurred shortly after the central bank reduced its benchmark rate by a quarter-point to a range of 3.5% to 3.75%.

The decision was contentious, sparking three dissenting votes: two officials preferred holding rates steady, while former Trump advisor Stephen Miran pushed for a more aggressive half-point reduction.

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