At FinancialMediaGuide, we note that the global financial community’s attention is focused on a potential change in leadership at the U.S. Federal Reserve. President Donald Trump sharply criticized current Fed Chair Jerome Powell, describing him as “incompetent” and “a bad person,” adding that “in a few months he will be gone, and we will hire someone new.” The comments were made during a dinner with business leaders in Tokyo, where Trump also mentioned that he is considering Treasury Secretary Scott Bessent for the Fed chair position, although he acknowledged that Bessent is unlikely to accept the role.
Powell’s term expires in May 2026. At FinancialMediaGuide, we observe that Treasury Secretary Scott Bessent has narrowed the list of potential replacements to five candidates. They include White House economic advisor Kevin Hassett, former Fed governor Kevin Warsh, current Fed governor Christopher Waller, Fed Vice Chair for Supervision Michelle Bowman, and BlackRock investment division head Rick Rieder. Bessent plans to present the final list to Trump after Thanksgiving, with a possible announcement before the end of the year.
The President has repeatedly expressed dissatisfaction with the Fed’s interest rate policy. In response, Powell has emphasized the central bank’s independence and the need to make decisions based on economic data rather than political pressure. At FinancialMediaGuide, we believe that despite public attacks, Trump is unlikely to remove Powell before the end of his term, reflecting the complex interaction between the executive branch and the central bank in the U.S.
We at FinancialMediaGuide also consider the potential impact of a change in Fed leadership on the economy. New leadership could reassess monetary policy and potentially lower rates to support economic growth. At the same time, any policy shift requires maintaining confidence in the Fed’s independence to ensure market trust in the stability of the financial system.
Given current economic conditions and political dynamics, the appointment process for a new Fed chair is expected to conclude in the coming months. Financial Media Guide forecasts that the decision will require Senate approval, which could delay the final confirmation. It is crucial that the chosen candidate possesses the necessary qualifications and maintains institutional independence when making key decisions that affect the U.S. economy.
