— I see Kevin is in the audience and I just want to thank him: you were fantastic on TV today. “I actually want you to stay where you are if you want to know the truth,” Trump said during a health care discussion.
“I'm like, wait a minute, if I move it, it's these Fed guys, they don't talk much. I would lose you. This is a serious concern for me, the president added, commenting on his advisor's recent interview with Fox News.
Why won't Kevin Hassett become Fed chairman?
Who else is being considered for this position?
What concerns does President Trump have about Hassett?
What does Hassett say about the investigation against Powell?
Who will become the head of the Fed?
Trump's words surprised commentators who had previously considered Hassett the main candidate to take over the legacy of the current president of the central bank, Jerome Powell.
Trump has been announcing for months that he is close to choosing a nominee to head the Fed, naming Hassett among a small group of candidates for the position. The other most frequently mentioned candidates were former Fed Board of Governors member Kevin Warsh and current Governor Christopher Waller. Trump was also scheduled to talk to Blackrock fund director Rick Rieder.
Whether Trump can install his nominee as central bank chief — the current one's term expires in May — may depend on the outcome of a criminal investigation into Powell for allegedly making false statements to Congress about renovations to Federal Reserve buildings. Republican Senator Thom Tillis on the Banking Committee said he would block any presidential nominations to the Fed until the investigation is completed. Tillis — like Powell and a long line of politicians from both parties — sees the investigation into Powell as an attack on the central bank's independence.
Asked about the case on Friday, Hassett said he viewed the investigation as a step toward transparency, but also expressed confidence that Powell was a “good man” and that the investigation would not prove he had committed a crime.
He also noted that if chosen to succeed Powell, he would accept the offer and “commit to the independence and transparency of the Federal Reserve.”
