Fed Chair is once again in Trump's crosshairs

U.S. President Donald Trump targeted Federal Reserve (Fed) Chair Jerome Powell during a meeting with business leaders in Tokyo as part of his Asia tour. Reminding that Powell's term will end in May, Trump said, "There is an inadequate person at the head of the Fed. However, we will bring in someone new in a few months."

Trump stated that one of the names he considered for the Fed chair position was Treasury Secretary Scott Bessent, but that Bessent did not accept the offer. "Bessent prefers to stay at the Treasury, so we do not see him as a serious candidate," he added.

CANDIDATES FOR FED CHAIR IDENTIFIED

Bessent announced on Monday that five candidates have been identified for the Fed chair position. These candidates 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 executive Rick Rieder. Bessent is expected to present the final list of candidates to Trump in December.

Meanwhile, Fed officials are expected to cut short-term interest rates for the second time this year at their meeting this week in an effort to prevent a slowdown in the labor market.