Traders within the bond market expressed their concern to the US Treasury Division about the potential for appointing Kevin Hassett as Fed Chairman, fearing that his closeness to President Donald Trump would push him to chop rates of interest excessively to please him.
This got here throughout discussions held by the ministry in November with senior bankers, asset administration firms, and main traders within the US debt market about Hassett and different candidates to succeed Jerome Powell, whose time period expires in Could 2026, in keeping with the Monetary Instances.
Hassett, who at the moment holds the place of chief financial officer within the White Home, is seen as one of the vital outstanding candidates in latest weeks.
Knowledgeable sources instructed the newspaper that a few of the main traders who participated within the discussions most popular different candidates, corresponding to Rick Reeder from BlackRock and Christopher Waller, a member of the Federal Reserve Board of Governors.
