Who are the frontrunners for the top job?

The race to find the next leader of the US Federal Reserve is intensifying, with President Donald Trump expected to announce his pick in the coming weeks to succeed Jerome Powell. Powell’s term as Fed chairman is set to end in May, and the incoming leader will face a challenging environment marked by political pressure and internal disagreements over interest rate policies.

One of the frontrunners for the position is Kevin Hassett, a staunch supporter of President Trump and a former chair of the White House Council of Economic Advisers. Despite his close ties to the administration, Hassett’s chances of securing the role have diminished in recent weeks. Wall Street traders still view him as a top contender, but concerns linger about his ability to act independently at the Fed.

Another candidate in the running is Kevin Warsh, a former Fed governor known for his critical stance on the central bank’s policies. Warsh has advocated for lower interest rates and a reduction in the Fed’s balance sheet. While he initially surged in prediction markets, he has since fallen behind in the race.

Christopher Waller, a current Fed governor, has also emerged as a potential candidate following a meeting with President Trump. Waller, who was nominated to the Fed board in 2020, has emphasized the need for further interest rate cuts. Despite lacking personal ties to the White House, Waller is seen as a sensible choice by some on Wall Street.

As the search for the next Fed chair continues, other names being floated include BlackRock executive Rick Reider and Treasury Secretary Scott Bessent. Ultimately, the success of the chosen candidate will be judged by their ability to navigate the complex economic landscape and maintain the Fed’s independence. The decision will have far-reaching implications for the financial markets and the broader economy.