Trump praises Kevin Hassett but expresses doubt about nominating him for Fed chair

President Trump on Friday expressed hesitation about naming his top economic adviser, Kevin A. Hassett, to lead the Federal Reserve, while praising his work during remarks at a White House health care event. Mr. Trump said, "I actually want to keep you where you are, if you want to know the truth," and added that Fed officials often "don’t talk much." "I would lose you.

It’s a serious concern to me," he said. Mr. Hassett is director of the White House National Economic Council and is considered a front-runner in the search to replace Jerome H. Powell. The replacement process was shaken after the Justice Department served the Fed with grand jury subpoenas related to Mr.

Powell’s management of a $2.5 billion renovation of the central bank’s headquarters. After the probe was revealed, Mr. Powell released a rare video that, the article said, called out the Trump administration for using the threat of criminal charges to pressure the central bank into lower interest rates.

Lawmakers, including Republicans, and every living former Fed chair, global central bankers and Wall Street denounced the move, the Times reported. The president will need Republican backing for any nominee because the Fed chair must be confirmed by the Senate. Senator Thom Tillis vowed to oppose confirmation "until this legal matter is fully resolved," and as a member of the Senate Banking Committee — where Republicans hold a 13-11 majority — he could block a nominee from advancing.

Key Topics

Politics, Kevin Hassett, Donald Trump, Jerome Powell, Justice Department, Federal Reserve