20.01.2026 13:47
U.S. Treasury Secretary Scott Bessent stated that U.S. President Donald Trump may announce the new chair of the Federal Reserve (Fed) next week. Bessent, who said, "We have 4 great candidates," mentioned that these individuals are Rick Rieder, an executive at the asset management company BlackRock; Kevin Hassett, Director of the National Economic Council; Christopher Waller, a member of the Fed Board; and Kevin Warsh, a former member of the Fed Board.
During the 56th Annual Meetings of the World Economic Forum (WEF) held in the town of Davos, Switzerland, U.S. Treasury Secretary Scott Bessent made statements to the press and responded to a question regarding the new Fed chair.
"THERE ARE 4 GREAT CANDIDATES"
Bessent stated that there are "four great" candidates for the new Fed chair, saying, "This is the President's (Trump) decision, and I believe he will make an announcement about it next week."
HERE ARE THE FED CHAIR CANDIDATES
The current Fed Chair Jerome Powell's term will end in May 2026. Four names stand out for the new Fed chairmanship: Rick Rieder, an executive at the asset management company BlackRock; Kevin Hassett, Director of the National Economic Council; Christopher Waller, a member of the Fed Board of Governors; and Kevin Warsh, a former member of the Fed Board of Governors.
"THE FED MAY BECOME MORE OPEN TO POLITICAL PRESSURES"
The common point among the names mentioned for the Fed chair is that they do not completely oppose the looser monetary policies advocated during Trump's previous presidency. This situation brings discussions that the Fed may shift towards a more politically pressured stance in its interest rate policy and balance sheet management in the new term.
"HE PREFERRED NAMES THAT ARE IN LINE WITH TRUMP'S POLICIES"
Particularly, the critical attitudes of Kevin Warsh and Christopher Waller towards the Fed's interest rate hikes and communication policies in the past strengthen the expectation of a "more dovish Fed" in the markets. Rick Rieder's influence in global investment markets and Kevin Hassett's closeness to the White House highlight the comments that Trump is seeking a Fed management more aligned with his economic policies.
THE WORLD IS CURIOUSLY AWAITING THIS DECISION
Analysts emphasize that who the new Fed chair will be will be decisive not only for the U.S. domestic markets but also for global interest balances, the direction of the dollar, emerging market economies, and commodity prices. Therefore, it is stated that Trump's announcement could lead to sharp pricing in global markets.
On the other hand, although the current Fed Chair Jerome Powell's term will end in May 2026, it is noted that Trump's initiation of the process has reignited discussions about the Fed's independence. There are opinions in international circles that an early announced candidate could increase political pressure on Powell. Following the official announcement from the Trump camp, the first reaction in the markets is expected to be seen through the dollar, gold, and U.S. Treasury yields.