Fed Chair Finalists Pressed on Central Bank Overhaul Amid Growing Complexity
Scott Bessent is intensifying scrutiny on Federal Reserve chair candidates, demanding clear strategies to address the central bank's escalating complexity. Interviews with all five finalists—Fed Governors Christopher Waller and Michelle Bowman, former Fed Governor Kevin Warsh, NEC Director Kevin Hassett, and BlackRock's Rick Rieder—are now in their final stages. A decision from President TRUMP could come before December 25.
The questioning zeroes in on structural inefficiencies, communication gaps, and the efficacy of the Fed's ample reserves regime. "The Fed has drifted into systems that are too heavy and unclear," Bessent remarked, challenging whether current liquidity management tools align with market realities. This overhaul debate unfolds as cryptocurrencies like BTC and ETH gain traction as alternative liquidity conduits, though none were directly cited in the discussions.
