Trump’s Fed Chair Pick May Be Revealed by Year-End

• Trump may announce his Fed Chair choice by late 2025
• Jerome Powell’s current term ends in May 2026
• Five candidates are under consideration, per WSJ

As the 2024 election dust settles and Donald Trump positions himself for a possible second term, eyes are now on his next big economic move: the Federal Reserve Chair selection. According to the Wall Street Journal, Trump could announce his preferred pick for Fed Chair by the end of 2025, well ahead of Jerome Powell’s term ending in May 2026.

This early decision could significantly shape market expectations and economic policy outlooks for years to come. Trump’s past criticisms of Powell, especially during his presidency, suggest he may favor a change in leadership—one more aligned with his economic vision.

Why the Fed Chair Choice Matters

The Federal Reserve Chair plays a crucial role in setting U.S. interest rates, managing inflation, and steering the overall monetary policy. With inflation, employment, and recession risks still key issues, the next Chair will influence everything from Wall Street to Main Street.

While Powell’s term doesn’t end until mid-2026, announcing a successor early could give markets more certainty—or more volatility—depending on the pick. Trump reportedly has five finalists under consideration, though no names have been confirmed publicly.

What This Means for the Economy and Markets

Investors, economists, and policymakers will be watching closely. A Trump-endorsed Chair might lean more dovish, potentially favoring rate cuts or looser monetary policy—especially if aligned with Trump’s focus on economic growth and low interest rates.

The outcome could affect not just U.S. markets but also global economic trends, especially as central banks worldwide monitor America’s monetary direction. Until an official announcement is made, speculation around Trump’s Fed Chair pick will likely remain a key theme in financial headlines.