Hassett Emerges as Leading Contender for Trump’s Fed Pick Amid Market Optimism
Markets responded positively to rumors of Kevin Hassett becoming the next Federal Reserve chair, with Treasury yields falling and risk assets rallying. The former WHITE House economist’s alignment with Trump’s growth agenda appears to resonate with investors seeking looser monetary policy.
Prediction markets now assign Hassett a 65% probability of nomination, up sharply from 40% earlier this week. Other candidates trail significantly, reflecting Wall Street’s preference for continuity in accommodative policies.
The administration’s focus on maintaining low borrowing costs for consumers—particularly for mortgages and auto loans—remains a key market driver. This comes as TRUMP confirmed he’s made his selection but declined to identify Hassett specifically.
