The White House said on Thursday (26) that a decision on the appointment of the federal reserve’s upcoming president (Fed) “is not imminent,” in response to the rumor that Donald Trump could announce Jerome Powell’s successor later this summer. The information is from Financial Times.
The government denial occurs after a report from the Wall Street Journal suggest that Trump, dissatisfied with the current conduct of monetary policy,, October or even before. Powell’s mandate ends only in May 2026.
“There are no imminent decisions about the president of the Fed, although the president has the right to change his mind,” the White House told FT. “The president has many good options for the next Fed president.”
Speculation over a. The dollar fell up to 0.7% against a basket of foreign currencies, reaching the lowest level since the beginning of 2022, before reducing losses and closing the day with a decrease of 0.5%. In Brazil, . , pressured by the fall in Treasuries rates.
The movement reflects the expectation that a new name aligned with Trump’s lowest interest rates could accelerate cuts in the basic rate, which tends to weaken the dollar.
Among the names listed to replace Powell are Kevin Warsh, former Fed director; Scott Bessent, current Secretary of Treasury; Kevin Hassett of the National Economic Council; and Christopher Waller, director of Fed. Waller himself recently said he supports interest cuts in July.
