Former Fed's Bullard: I'm very interested in becoming Fed chair under the right conditions.

Former Fed's Bullard: I'm very interested in becoming Fed chair under the right conditions.

In a recent development, former U.S. President Donald Trump has reiterated his stance on the Federal Reserve Chair Jerome Powell's tenure. Trump, while denying any current plans to fire Powell, acknowledged that the Fed chairman's term is set to end in May 2026 . This comes amidst ongoing discussions about the future leadership of the Federal Reserve.

Trump has previously expressed his dissatisfaction with Powell, criticizing him for not lowering interest rates. In a statement on July 16, Trump denied any immediate plans to remove Powell from his position, stating, "No, I'm not talking about that. Fortunately, we get to make a change in the next eight months or so" . This statement was made despite Trump having previously told Republican lawmakers that he planned to fire Powell soon .

Powell's term as chairman is legally protected, and he cannot be fired without cause. The Fed governors are not removable except "for cause," as determined by law . Powell himself addressed the potential for political pressure during his speech in Chicago in April, stating that Fed independence is a matter of law and has broad support across political parties .

Trump has also indicated potential replacements for Powell. According to foreign media reports, Trump mentioned White House economic advisor Kevin Hassett, Federal Reserve governor Christopher Waller, and former Fed governor Kevin Warsh as potential candidates to replace Powell . However, US Treasury Secretary Scott Bentsen has stated he will not take the position and has organized the current selection process .

The upcoming meeting of the Federal Reserve is expected to lower the benchmark lending rate by 25 basis points amidst concerns about a softening labor market . This decision is part of the Fed's balancing act between inflation and employment, while also navigating political pressures. The potential confirmation of Stephen Miran as a Fed governor just hours before the meeting adds another layer of political dynamics .

In separate comments, former Fed governor James Bullard has expressed interest in becoming Fed chair under the right conditions. Bullard, who served as a member of the Federal Open Market Committee, has been vocal about his desire to lead the Federal Reserve .