Kevin Hassett’s Shift to Trump Loyalist Raises Questions About Fed Independence

Kevin Hassett, director of the White House National Economic Council and a onetime advocate of free trade and pro-immigration policies, has become a prominent contender to be President Trump’s pick to lead the Federal Reserve. Long known as a conservative economist who advised John McCain, George W.

Bush and Mitt Romney and worked at the American Enterprise Institute, Mr. Hassett’s public positions have shifted substantially since joining Mr. Trump’s orbit. Now he supports tariffs and has defended the administration’s immigration moves, arguing on CBS’s Face the Nation that departures of foreign-born workers create higher‑paid opportunities for native‑born Americans.

Mr. Hassett is widely viewed as a frontrunner to replace Jerome H. Powell, with the president expected to announce a choice in early 2026. Investors and policymakers are trying to assess whether his loyalty to Mr. Trump would compromise the Fed’s independence. Mr. Hassett has sought to reassure critics, saying Mr.

Trump would have “no weight” on rate decisions, even as the president has insisted he will choose someone who favors substantially lower interest rates and posted, “Anybody that disagrees with me will never be the Fed Chairman!” Colleagues and former associates are divided.

Key Topics

World, United States, Business, Federal Reserve, Kevin Hassett, Trump, Fed Independence