Bessent: Fed Chair Pick 'Definitely' Coming This Fall, 11 'Very Strong' Candidates in the Running

U.S. Treasury Secretary Bessent revealed that the selection process for the next Federal Reserve Chair is progressing in an orderly manner, with former President Trump having identified 11 "very strong" potential candidates. The outcome is expected to be announced this fall.

In an interview on Tuesday morning, Bessent stated that he will begin meeting with these candidates after the Labor Day holiday next month. Following these interviews, he, along with other White House officials, will recommend three to four final candidates to President Trump. Trump is already familiar with some of these individuals, though not all.

Bessent specifically emphasized that the final selection will "definitely" be announced this autumn, providing a clear timeline for the markets and the public, and allowing ample preparation time for the transition period before the new Chair assumes office.

11 "Strong" Candidates Shortlisted for Initial Selection

When discussing the quality of the candidates, Bessent described the 11 potential Fed Chairs as "very strong," suggesting that the administration has already filtered for seasoned individuals with professional competence and extensive experience.

Interestingly, Bessent revealed that President Trump is already familiar with some of the candidates, but not all. This suggests that the final decision may incorporate both Trump's personal trust factors and the candidates' professional qualifications.

The official list of potential candidates has not been made public yet. Markets and analysts are closely watching for possible names and their stances on monetary policy.

The Fed "Needs to Get Back to Its Core Mission"

In discussing the future development of the Federal Reserve, Bessent offered a notable perspective, suggesting that since the 2008 financial crisis, the Fed has "strayed from its core monetary mission."

"The Fed needs to get back to it," Bessent stated clearly. This comment may hint that the successor chosen by the Trump administration will steer the Fed towards some form of policy adjustment or reorientation.

Given that the term of current Fed Chair Jerome Powell ends in May next year, the policy stance of the new Chair will have a profound impact on the markets, especially amidst current inflation concerns and uncertain economic growth prospects.