The US President says he hopes the Treasury Secretary will remain in his current role.
President of the United States Donald Trump has ruled out the secretary of Treasury Scott Bescent on behalf of Federal Reserve Chairman Jerome Powell.
Trump, who has repeatedly criticized Powell, said on Tuesday that Bescent wants to continue his current role by not moving faster to lower interest rates.
“I love Scott, but he wants to stay where he is,” Trump said in an interview with CNBC, adding that Bescent was doing a “great job” and that he didn’t want a position like he did on Monday.
Trump said he has four candidates in mind to replace Powell, which will expire in May, including Kevin Wahsh, who previously served on the Fed’s seven-person board.
He said the opportunity could be used to replace Adriana D. Kugler, who announced her early resignation as one of seven governors last week, to choose a chair on the board before Powell left office.
“I’m going to make a decision soon,” Trump said.
The repeated attacks on Powell, who Trump called silently “too late,” raise concerns about the US central bank, which maintains its independence, which investors consider to be essential to the health of the US economy.
The Benchmark S&P 500 fell 0.7% after reports last month that Trump asked Republican lawmakers if they should fire the Fed’s chairman.
US stocks recovered quickly after Trump denied that he had an intention to remove Powell early.
Under the law and the precedent of the U.S. Supreme Court, the president can only remove the Fed Chairman “for causes” which were widely interpreted to mean evidence of corruption or misconduct.
