Federal Reserve Governor Christopher Waller was seen walking down a hallway holding a light blue folder. According to sources familiar with the matter, President Trump is set to interview another candidate for Federal Reserve chair—Governor Christopher Waller—this Wednesday. Officials cautioned that the selection process is moving quickly, though President Trump is still weighing his options, meaning the meeting could be postponed or canceled. Last week, Trump interviewed former Fed Governor Kevin Warsh and indicated that Warsh and National Economic Council Director Kevin Hassett were top contenders for the position. Waller was nominated to the Federal Reserve Board by Trump in 2020, near the end of his presidency, and confirmed by Senate vote. This year, he has emerged as a key advocate for interest rate cuts within the Fed. The central bank has cut rates by 25 basis points in each of its last three policy meetings. When the Fed held rates steady in July, Waller dissented, favoring a rate cut instead. The White House has not yet responded to requests for comment. In an October survey of economists by U.S. media, Waller ranked first among potential candidates for Fed chair. Wall Street views Waller favorably due to his well-reasoned and consistent arguments for rate cuts this year, as well as his perceived ability to bridge internal Fed divisions. Some of his rate-cut proposals have been adopted by Fed Chair Jerome Powell, who has recently faced growing opposition within the Fed, particularly from officials concerned about inflation risks. However, Waller is widely seen as an underdog, partly because his personal ties to Trump are far weaker than those of Warsh and Hassett. Additionally, some Trump allies remain displeased with Waller—in September 2024, before Trump took office, Waller voted in favor of a 50-basis-point rate cut, which some viewed as "disloyal" to Trump. Trump has repeatedly expressed regret over his 2017 decision to nominate Powell as Fed chair. In an interview last week, he said he would be more cautious this time, blaming former Treasury Secretary Steven Mnuchin for giving "bad advice." Waller is scheduled to speak in New York this Wednesday morning, outlining his views on the economic outlook. U.S. Treasury Secretary Scott Bassett said Tuesday that Trump may announce his Fed chair pick in early January and will interview one or two more candidates this week and next. "The timeline is entirely up to the president," Bassett told Fox Business. "He is being extremely thorough in his deliberations." Bassett also described Trump’s interview style, noting that the president directly questions candidates on topics ranging from Fed policy direction to central bank structure and the economic outlook. "In one interview, the president engaged a candidate in a fundamental discussion in his signature style," Bassett recalled, mentioning that Trump questioned why the Fed employs so many Ph.D. economists. Bassett added, "The candidate didn’t have a convincing answer." Bassett praised both Warsh and Hassett as "exceptionally qualified." Addressing recent criticism that Hassett—a long-time Trump economic adviser—is too close to the president to act independently as Fed chair, Bassett countered that many past Fed chairs have also served in the White House. "Kevin Hassett is an outstanding economics Ph.D. with a strong professional background," Bassett remarked.
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