In a move that could reshape US monetary policy, President Donald Trump has strongly hinted that he intends to nominate his chief economic adviser, Kevin Hassett, to lead the Federal Reserve.
Trump's Public Endorsement at White House Event
The revelation came during a White House gathering on Tuesday, December 2, 2025. While introducing guests, President Trump pointedly remarked, "It's a great group, and I guess a potential Fed chair is here too." He then directly addressed Hassett, adding, "I don't know, are we allowed to say that, potential? He's a respected person that I can tell you. Thank you, Kevin."
This public nod follows earlier comments Trump made during a cabinet meeting, where he stated his plan to announce his selection for the new chairman of the Fed "probably early next year." He claimed to have narrowed a list of about ten candidates down to one, strongly suggesting Hassett is that final choice.
Who is Kevin Hassett?
Kevin Hassett is a PhD economist and a loyal figure within Trump's economic circle. He currently serves as the Chair of the White House's National Economic Council, the principal body advising the president on economic policy.
His familiarity with the administration runs deep. During Trump's first term, Hassett chaired the Council of Economic Advisers, a research-focused agency. He is also a frequent television commentator, known for vigorously defending the president's economic agenda.
Challenges and Market Implications
While Hassett's loyalty may secure him the nomination, it will also be a central point of scrutiny. His confirmation by the Republican-controlled Senate is not guaranteed and will involve intense debate among politicians and financial experts.
The key challenge for Hassett will be convincing senators and global markets that he can maintain the Federal Reserve's cherished independence. He must demonstrate a commitment to controlling inflation in the world's largest economy, despite having publicly aligned with Trump in criticizing the Fed's past interest-rate decisions.
Notably, while Hassett has called for more rate cuts this year, he has avoided the harsh personal attacks on current Chair Jerome Powell that have become a hallmark of Trump's rhetoric. On the same Tuesday, Trump referred to Powell as a "stubborn ox" and accused him of letting personal animus influence rate decisions.
The relationship between Trump and Powell has been notoriously strained. Trump has expressed bitter regret over appointing Powell in his first term and previously tried to remove him early. Powell's term is officially set to end in May 2026.
If nominated and confirmed, Hassett would face the monumental task of steering US monetary policy while balancing presidential expectations with the demands of economic stability, a tightrope walk that will be watched closely by investors worldwide.
