An off-hand remark by President Trump appears to affirm that National Economic Council Director Kevin Hassett is out of the running to become the next Federal Reserve chairman.
The Wall Street Journal reports Trump was speaking at a healthcare event at the White House where Hassett was present. The president complimented Hassett for an appearance on a television news program, then added, “I actually want to keep you where you are.”
Trump then turned to Susie Wiles, his chief of staff, and stated, “We don’t want to lose him, Susie. We’ll see how it all works out.”
Hassett and former Fed governor Kevin Warsh had been considered the frontrunners to replace Jerome Powell when his chairmanship at the central bank ends in May. Current Fed Gov. Christopher Waller was also cited as a potential candidate, and more recently BlackRock executive Rick Rieder emerged as a dark horse candidate for the job.
The president has repeatedly delayed naming a Powell replacement, stating on several occasions that he would not nominate anyone who disagreed with him on lowering rates. However, the backlash over Powell’s revealing that Trump’s Department of Justice was threatening him with an indictment over alleged perjury during a Senate hearing last year complicated the picture amid renewed concerns that the central bank remain independent of the White House.
