Trump says he wants to keep Hassett in White House, clouding Fed chair selection

Associated Press (AP)CenterEN 3 min read 100% complete by By CHRISTOPHER RUGABERJanuary 16, 2026 at 09:23 PM

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President Trump indicated he prefers to keep Kevin Hassett as Director of the National Economic Council, potentially impacting the search for a new Federal Reserve chair to replace Jerome Powell, whose term ends May 15. Trump's comments have boosted the prospects of Kevin Warsh, a former Fed governor, for the position. The Justice Department's recent subpoenas of the Federal Reserve, revealed by Powell, have also influenced the selection process. Powell claimed the subpoenas were retaliation for the Fed's refusal to lower interest rates as sharply as Trump desired, sparking controversy and concerns about the Fed's independence. This backlash may reduce Hassett's chances, as the Senate worries about political interference.

Key Entities & Roles

Key Player Opposition Context

Capitol Hill 30% Senate Banking Committee 35% Justice Department 40% National Economic Council ×245% Kevin Warsh ×255% White House ×360% Federal Reserve ×370% Jerome Powell ×575% Kevin Hassett ×785% Donald Trump ×790%

Keywords

federal reserve 100% fed chair 90% kevin hassett 80% jerome powell 70% donald trump 60% interest rates 60% white house 60% kevin warsh 50% subpoenas 50% independence 40%