President Trump has elevated Kevin Warsh to the top of his shortlist for the next Federal Reserve Chair, according to a Wall Street Journal report. This announcement comes after the Federal Reserve cut interest rates to a range of 3.5%-3.75% on Wednesday, a move Trump believes should go further. Warsh's alignment with Trump's monetary policy views has increased his chances, with market forecasts now placing his nomination probability at 36%, up from previous estimates. Trump's comments also suggest a shift towards a more consultative role for the Fed Chair with the presidency, challenging the traditional independence of the Federal Reserve. This development has caused a decrease in the market's expectation for Hassett's nomination, which has dropped from 71% to 62%.