Treasury Secretary Scott Bessent has reduced the list of potential Federal Reserve chair candidates to five names, CNBC reported.
After a series of interviews lasting as long as two hours, Bessent narrowed the field from 11 to five, with a final nomination expected by early next year.
According to CNBC, the five remaining contenders are:
- Michelle Bowman, the Fed’s vice chair for supervision.
- Christopher Waller, a current Fed governor.
- Kevin Hassett, the White House National Economic Council director.
- Kevin Warsh, a former Fed governor.
- Rick Rieder, BlackRock’s chief investment officer for global fixed income.
Bessent plans another round of interviews with all five candidates, with senior Treasury and White House officials taking part.
Officials told CNBC the process could extend beyond Thanksgiving as Bessent attends the World Bank and IMF meetings in Washington before traveling to Asia with President Donald Trump.
Bessent plans to submit a shorter list to the president, who will make the final decision.
One scenario under discussion would have the chosen candidate first nominated to a Fed governor’s seat and later elevated to chair after Jerome Powell’s term expires in May.
As the Financial Times reported, Bessent has pressed candidates on their views regarding the Fed’s crisis-era stimulus programs and what he calls “mission creep.”
His 6,000-word essay in The International Economy argued that the Fed had become “too large” and overly interventionist through quantitative easing — policies he labeled a “gain-of-function monetary experiment.”
Bessent reportedly is seeking a nominee who embraces reform and is open to rethinking how the Fed conducts monetary policy. Treasury officials told CNBC the secretary wants a leader who values flexibility, has deep experience in economics and regulation, and can manage an institution under intense political and market scrutiny.
Rieder, the only finalist without prior Fed experience, is said to have impressed Bessent. Known on Wall Street for his fixed-income analysis, Rieder’s outsider status may appeal to officials eager for a fresh perspective.
The selection comes amid rising concerns about the Trump administration’s influence over the central bank. The president has repeatedly criticized the Fed for keeping rates “too high” and has demanded aggressive cuts, reportedly favoring candidates aligned with his view that borrowing costs should fall to near 1%, according to the Financial Times.
Trump’s strained relationship with Powell, whom the president has derided as a “moron,” and attempts to remove Fed Governor Lisa Cook, blocked by the courts, have amplified fears over the erosion of central bank independence. The Supreme Court is expected to hear Cook’s case in January.
Reuters noted that Bessent ruled himself out of contention for the chairmanship, telling reporters Trump “likes me where I am.”
The administration’s unusually public and politically charged process marks a sharp break from precedent. As markets watch closely, the eventual pick will signal whether Trump’s second Fed chair will pursue continuity or a wholesale redefinition of the world’s most powerful central bank.
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