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US President Donald Trump teased that he has a preferred candidate to be the next chair of the Federal Reserve, but is in no hurry to make an announcement \u2014 while also musing that he might fire the central bank\u2019s current leader, Jerome Powell.<\/p>\n
\u201cI do, still do \u2014 hasn\u2019t changed,\u201d Trump said at a press conference Monday, when asked if he has a favorite candidate. \u201cI\u2019ll announce him at the right time. There\u2019s plenty of time.\u201d<\/p>\n
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Fed cuts rates with three dissents, projects just one cut in 2026
Trump says he thinks he already knows choice for Fed chair<\/p>\n
Trump added that Powell \u201cshould resign\u201d and that he\u2019d \u201clove to fire him.\u201d The president came close to seeking Powell\u2019s ouster in July, but backed away after a\u00a0negative reaction\u00a0in financial markets.<\/p>\n
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\n\u201cMaybe I still might,\u201d Trump told reporters at his Mar-a-Lago resort in Florida.<\/p>\n<\/blockquote>\n
Trump did not specify who is his leading chair candidate and said an announcement would be made in \u201cJanuary sometime.\u201d<\/p>\n
National Economic Council Director Kevin Hassett has been seen as the frontrunner, though Trump has also expressed interest in former Fed governor Kevin Warsh. Other finalists in the process have included current Fed governors Christopher Waller and Michelle Bowman and BlackRock\u2019s Rick Rieder.<\/p>\n
Trump has made numerous cryptic \u2014 and sometimes contradictory \u2014 remarks about his decision-making process regarding the new central bank chief. The president earlier in December said he\u2019d narrowed the pool of contenders down to one, but subsequently said he was considering multiple candidates and has heaped praise on several of the names on the short list.<\/p>\n
Trump has long been a critic of Powell, who he picked to lead the central bank during his first term. The president has indicated he wants the next chair to more aggressively cut interest rates as the White House looks to lower mortgage costs.<\/p>\n
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The central bank has lowered interest rates at each of its last three meetings, but officials signaled in December they\u2019re likely to cut rates just once in 2026.<\/p>\n
Trump said Monday he was considering a \u201cgross incompetence\u201d lawsuit against Powell related to an ongoing renovation project at the Fed. Powell\u2019s term as chair is set to end in May of 2026, but his term on the Fed\u2019s Board of Governors doesn\u2019t expire until 2028.<\/p>\n
Powell hasn\u2019t said whether he would depart when his tenure as chair ends. If he stays, Powell would deny Trump the ability to name another new member of the Fed board.<\/p>\n
\u00a9\u00a02025\u00a0Bloomberg<\/p>\n
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