Trump Rules Out Potential Fed Chair Replacement

On Tuesday, President Donald Trump dismissed the idea of Treasury Secretary Scott Bescent taking over the role of Federal Reserve Chairman from Jerome Powell.

Despite Trump’s pressure, Powell has reportedly communicated to close colleagues that he plans to serve his complete term, which ends in May 2026. Trump mentioned in an interview that Bescent is not interested in replacing Powell as he prefers to stay in his position at the Treasury Department.

“Well, I love Scott, but he wants to stay where he is,” Trump stated. “I asked him last night, and he said, ‘Is this what you want?’ He actually responded, ‘I want to work with you. It’s very nice.’

Trump continued, “But no, Scott wants to do what he’s doing. He’s doing a great job and wants to do what he’s doing. He doesn’t want that position. He likes being the Treasury Secretary, and he’s doing a really good job.”

Trump has previously criticized Powell for not lowering interest rates during his presidency. He has repeatedly suggested that Powell’s resignation should occur due to the Fed’s reluctance to cut rates.

Some of Trump’s associates have also discussed the possibility of appointing a “Shadow Fed Chair” before Powell’s term concludes.

On a separate occasion, Trump remarked that Powell would not be removed from his position to avoid market instability. “They say it’s going to get in the way of the market,” he noted. “I’ll remove him in a heartbeat, but they say it’ll disrupt the market. He’ll leave in seven or eight months, and I’ll put someone else in.”