President Donald Trump called Federal Reserve Chair Jerome Powell "terrible" and said he knows three or four people who are contenders for the next chair of the Federal Reserve.
"I know within three or four people who I'm going to pick," Trump told reporters when asked if he is interviewing candidates to replace Powell.
The leading contenders reportedly include former Fed Governor Kevin Warsh, National Economic Council head Kevin Hassett, current Fed Governor Christopher Waller, and Treasury Secretary Scott Bessent.
Trump has repeatedly criticized Powell for not cutting interest rates and has floated the idea of firing him or naming a successor soon, though he nearly as often has walked back those threats, saying on June 12 at the White House, "I'm not going to fire him."
Some analysts see this as an effort to influence monetary policy through a "shadow" Fed chair even before Powell leaves office in May 2026.
Fed chairs have long been seen as insulated from presidential dismissal for reasons other than malfeasance or misconduct, but Trump has threatened to test that legal premise with frequent threats to fire Powell.
Powell told Congress on Tuesday that higher tariffs could push up inflation this summer, just as the Fed weighs potential rate cuts.
He said he and many at the Fed expect inflation to rise soon and that the central bank isn't rushing to lower borrowing costs.
© 2025 Thomson/Reuters. All rights reserved.