U.S. President Donald Trump's recent remarks have shifted market expectations for the Federal Reserve Chair nomination, positioning Kevin Warsh as the leading candidate. Trump's statement about wanting Kevin Hassett to remain as the director of the National Economic Council suggests a preference for Warsh over Hassett for the Fed Chair role.
According to Polymarket data, the probability of Hassett receiving the nomination has dropped to 15%, while Warsh's chances have surged to over 60%. Warsh, known for his hawkish stance, is expected to support rate cuts while advancing balance sheet reduction. His views on inflation, which he attributes to Federal Reserve policies rather than external factors, and his optimism about the U.S. economy's potential growth through AI and deregulation, further distinguish him from other candidates.
Trump's Comments Boost Kevin Warsh's Odds for Fed Chair Nomination
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