Bessent: the next Fed chair could be named as soon as next week

Bessent added that the final list is down to four candidates, and he described them as strong.

Jerome Powell’s term as Fed chair is set to end in mid-May 2026, so the White House has an incentive to move early. Markets do not like gaps or mixed signals, especially when the job in question shapes the direction of U.S. monetary policy. In Washington, the Fed chair selection has also become a running argument about the central bank’s independence and how much pressure the White House can apply when it comes to interest rates.

The public part of that fight has been building for months. Trump has repeatedly criticized Powell and pushed for faster rate cuts, even as inflation remains above the Fed’s target. Tension also rose after reports of a probe into the Fed’s renovation. Against that backdrop, current Fed officials have tried to project calm, arguing that any new chair will still have to operate within the mandate set by Congress.

Possible successors are being debated not only in market circles but inside the administration as well. At different points, the names mentioned as contenders have included White House economic adviser Kevin Hassett, former Fed governor Kevin Warsh, current Fed governor Christopher Waller, and Rick Rieder, a senior bond strategist at BlackRock. Fed governor Michelle Bowman has also been discussed as part of the broader field. Bessent himself, according to press reports, has overseen the interview process and is not seeking a move to the Fed.

Given how unpredictable the current White House can be, it is hard to forecast who Trump will decide is the best fit, or how quickly markets will be convinced that the Fed will keep its independence under new leadership. If Bessent’s comments in Davos are any guide, the answer may come very soon.