Treasury Secretary Bessent met this week with Warsh, Lindsey and Bullard as Fed chief search continues

The search for the next Federal Reserve Chairman continues, Treasury Secretary Scott Bessent continues to meet with a few candidates in President Donald Trump’s short list.

Recently, Bessent told Steve Liesman from CNBC to Steve Liesman, formerly fed officials Lawrence Lindsey, Kevin Warsh and James Bullard. Lindsey and Warsh both served as governors and Bullard St. He was the president of Louis Fed.

Although the aim is to add one or two names to the candidates mentioned earlier, including Warsh and National Economy Council Director Kevin Hassett and the current governor Christopher Waller. Under Bessent’s thought, there is a wider group containing 11 economists, including old and existing central bankers and several market strategists.

In addition to the candidate talks, Bessent Fed reveals his own agenda to reform. He wants to see that the Central Bank has organically reduces its large bond portfolio. balanceHe said the source. The key would reduce the reduction of $ 6 trillion in the securities with non -destructive treasury and mortgage -supported securities for markets or economy.

Moreover, he said that Bessent wanted to try to reduce the Fed’s economic footprint.

The news comes with the Fed under the White House microscope.

Trump and many other administrative officials have raided an interest rate, something that has not happened since December 2024. The markets expect the Federal Open Market Committee, which determines the ratio, to approve a quarter percentage discount when it meets next week.

At Wall Street Journal part of the idea Last week, Bessent revealed its own vision for Fed. The Central Bank rejected what he called the “function gain” activity, which has repeatedly exceeded the narrow targets assigned to him for low unemployment and inflation.

“The Fed must change the route,” Bessent wrote. “The standard team kit has become very complicated to manage with uncertain theoretical foundations.”

Fed’s skin color can change significantly next year.

President Jerome Powell’s duration ends in May 2026, and even though it can continue for two more years as the governor, it will certainly be changed in its current position. At the same time, the Senate is expected to vote for the governor’s gap in the candidate Stephen Miran on Monday.

Trump also forced Governor Lisa Cook to overthrow the mortgage fraud, although a court has prevented him from doing so.