President Donald Trump is likely to make a major decision on the leadership of the Federal Reserve as early as next week, as his administration moves closer to naming a new chairman of the US central bank.
According to Treasury Secretary Scott Bessent, the selection process that began in September has now been whittled down from 11 candidates to four main names, all of whom the president has personally met.
The selection comes amid a tense atmosphere after Trump repeatedly criticized Jerome Powell for not acting quickly enough to lower interest rates. This has raised concerns about political interference in monetary policy.
The four candidates under consideration include a mix of policymakers, former monetary policymakers, and major financial market players. This indirectly reflects the different policy preferences for the direction of the Fed.
Although Powell is set to end his term as chairman in May, his status as a member of the Fed board remains open, adding another layer of uncertainty to the US monetary policy landscape.
