Selection Time Approaches as Wall Street Sentiment Heats Up
As the countdown to the December policy meeting begins, Wall Street is intensely discussing the new Federal Reserve Chairman. U.S. Treasury Secretary Besente recently publicly stated that the new appointment is "very likely" to be announced before the Christmas holiday, making the candidate list and potential policies more scrutinized. This statement is seen by the market as an important signal that the White House is accelerating related procedures.
Five Candidates Emerge as Interviews Reach Final Stage
According to informed sources, the final shortlist consists of White House National Economic Council Director Kevin Hassett, former Federal Reserve Governor Kevin Warsh, BlackRock executive Rick Rieder, and current governors Christopher Waller and Michelle Bowman. Besente revealed that the selection interviews are expected to be completed this week, and the relevant report will soon be submitted to the President.
Market analysts point out that this list combines both political and professional backgrounds, including economic advisers supported by Republican circles and long-term Federal Reserve members involved in monetary policy, making it difficult for outsiders to easily predict the final choice.
Hassett Leading the Race, White House Remains Silent
Multiple media outlets, citing insiders, report that Hassett is currently leading the competition, mainly due to his economic philosophies closely aligned with Trump. Especially in terms of interest rates, Hassett is seen as a "policy stimulus advocate," arguing for rapid rate cuts when economic slowdown signs appear.
However, the White House has not given a clear response to external speculation, only emphasizing that all decisions remain in the President's hands. Besente also stressed that he would not comment on specific candidates but stated that "the selection process is progressing rapidly," indicating that the final decision is in its final stage.
Powell's Term Nears End, White House-Fed Relations Under Scrutiny Again
Current Chairman Powell's term will end in May next year. During his tenure, he repeatedly clashed with Trump over interest rate policy, leading to speculation that the President prefers a leader inclined toward loose policies, capable of strengthening the administration's economic goals. As changes in U.S. inflation coexist with growth pressures, the rate direction is considered a core issue in this selection.
Economists point out that the new chairman's policy leanings will not only impact future rate-setting meetings but may also change the overall communication style of the Federal Reserve, thus affecting global market expectations for U.S. monetary policy.
Treasury Secretary: Fed Should "Return to the Background," Functional Role May See Adjustment
Notably, Besente's recent public talks have conveyed signals different from the past. He argues that since the 2007 financial crisis, the Fed has taken on too many roles on the policy stage, and now it should consider "reducing its presence," allowing the fiscal department to have greater initiative in economic governance. This view is regarded by academia as a hint toward the White House's future policy direction and could become a core issue the new chairman must address during their term.
Appointment Nears, Market Watches White House's Final Decision Closely
As the selection process nears its end, Wall Street is closely monitoring how the President will balance political demands, economic environment, and policy philosophies. The new Fed Chairman will influence the trajectory of interest rates and shape global investors' risk expectations in the coming years. With Christmas approaching, the market's wait is in its final countdown.
