Who will be the next Federal Reserve Chair? Bessent has already interviewed 11 candidates, and 4 people have the best chance.

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The weeks-long interviews for the next Fed Chair candidates have concluded, and Trump is about to make a final decision from the four leading contenders: Warsh, Waller, Hassett, and Rick Rieder.

On October 9, according to the Financial Times, U.S. Treasury Secretary Bassent has completed the final round of interviews for Fed Chair candidates, concluding a weeks-long selection process on Tuesday, with a total of 11 candidates being considered for the head of the world’s most important financial institution.

Sources revealed that Bassent focused on candidates’ views on interest rate policy and how they would handle the exit from quantitative easing in crisis periods. The candidates underwent rigorous two-hour questioning, with interviewers including Bassent, Treasury official Hunter McMaster, and adviser Francis Browne.

The report indicated that Trump will make the final decision after the last round of interviews. He previously stated that his favored candidates include former Fed governor Kevin Warsh, current governor Waller, and White House economic adviser Kevin Hassett. Rick Rieder, BlackRock’s Global Chief Investment Officer of Fixed Income, performed "exceptionally well" in the interview as an external candidate.

The report said this personnel reshuffle comes as the Fed faces turbulent times, with concerns rising in markets about the Trump administration’s challenge to central bank independence, and investors betting the next Chair will be more aggressive in cutting rates.

Bassent’s Questioning Focuses on Central Bank Reform Agenda

During the interviews, Bassent placed emphasis on the candidates’ views regarding structural reforms at the Fed. According to participants, Bassent asked for opinions on perspectives raised in his recent article calling for comprehensive reforms of the central bank, and criticizing quantitative easing as a "function-gain experiment in monetary policy."

Candidates were also asked how they would govern an institution Bassent accuses of "mission creep." Bassent believes the Fed’s over-expanded balance sheet reflects excessive central bank power, argues that technocrats’ influence over the government bond market should be reduced, and that more control should be handed back to the Treasury.

In a media interview, Bassent was tight-lipped about the selection process, only saying he hopes to find a "open-minded" and "forward-looking" candidate. He admitted that some candidates’ performances were surprising, making it difficult for him to finalize the list for the White House.

Each of the Four Leading Candidates Has Their Own Strengths

Among the candidates publicly supported by Trump, former Fed governor Kevin Warsh echoes Bassent’s views on central bank reform. In an April speech to the Group of Thirty, Warsh supported reducing the Fed’s assets.

Current governor Waller has also recently outlined his plans to shrink the Fed’s asset holdings. These holdings swelled sharply during the financial crisis and the COVID pandemic due to central bank purchases of Treasuries and other securities.

White House economic adviser Kevin Hassett, as a member of Trump’s inner circle, is aligned with the president’s policy views. BlackRock’s Rick Rieder, as an external candidate, is recognized for his rich experience in global fixed income.

Sources revealed that some candidates exceeded expectations, making the final choice more difficult. Last month, Bassent admitted the outstanding performance of some candidates had made narrowing the shortlist a challenge.

Market Focus on Rate-Cut Expectations and Concerns About Independence

The Fed is in a period of turmoil. Trump has appointed an ally as governor and attempted to dismiss another governor, raising concerns that the president may undermine the central bank’s independence.

The administration’s repeated attacks on the central bank’s longstanding independent rate-setting tradition has caused market volatility and led to bets that the next Fed Chair will cut rates more aggressively.

Trump ally and Director of the Office of Management and Budget, Russ Vought, also criticized the Fed’s $2.5 billion headquarters renovation project as "ostentatious."

Another member of the president’s inner circle, Bill Pulte, accused the Fed’s first Black female governor, Lisa Cook, of mortgage fraud, prompting Trump to try to dismiss her.

However, Cook has denied the accusations and sued the president. Last week, the Supreme Court ruled she can continue to serve at the Fed at least until January 2026.

Current Chair Powell’s term will end in May 2026, concluding his eight years as head of the world’s most important central bank. He may continue as a governor until January 2028.

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