Monetary policy Trump wants to announce Fed chief successor in January
US President Donald Trump wants to announce his preferred candidate to succeed Fed Chairman Jerome Powell, who has fallen out of favor with him, "sometime in January". Trump also confirmed that he has a favorite for the post of head of the US Federal Reserve.
30.12.2025, 01:23
SDA
Trump made the announcement at a meeting with Israeli Prime Minister Benjamin Netanyahu at his Mar-a-Lago residence in Florida.
Powell's regular term of office ends in May 2026. According to the Federal Reserve (Fed), the head of the central bank, his deputy and the so-called governors are nominated by the US President. The Senate must then confirm them. Kevin Hassett, Chairman of the National Economic Council in the White House, is the favorite.
On Monday, Trump once again suggested that he wanted to fire Powell. He had repeatedly announced this in recent months because the Federal Reserve was not lowering the US key interest rate quickly enough in Trump's view. As a result, Trump repeatedly attacked Powell publicly and insulted him. He holds the Fed Chairman solely responsible for the key interest rate decisions - although a twelve-member committee decides on the key interest rate.
However, there was no concrete attempt to dismiss him. It is also unclear whether a president is allowed to dismiss a Fed chief at all. The central bank is independent by law.
