Trump names Warsh and Hassett as top Fed nominees, WSJ says

In an interview with the Wall Street Journal on Friday, Trump announced that Warsh, a former Fed governor, had emerged as a candidate to challenge Hassett, the head of the White House’s National Economic Council who many had considered forerunner for work.

« I think the two Kevins are great, » he said. « I think there are a couple of other people who are great. »

Trump previously indicated that he had already made up his mind, saying on Monday that he had a « pretty good idea » of who to nominate. The president also said last month that he knows who he will choose for the job. Recent comments suggest that the selection process is in constant flux.

Trump met with Warsh on Wednesday. It is not clear whether Trump plans to interview other candidates.

Earlier: Trump says he will meet with Warsh as the Fed chairman search draws to a close

The president said Warsh told him borrowing costs should be lower.

Later in the Oval Office, Trump said the next Fed chairman should negotiate with him on interest rates, upending the Fed’s tradition of independence.

« I’ve been very successful, and I think my role should be at least a recommendation — they don’t have to follow what I’m saying, » Trump told reporters, adding that he was expected to make a choice « in the next few weeks. »

« I think my voice should be heard, but I’m not going to make a decision based on that, » he continued.

Trump has moved to defend the central bank in his second term, regularly expressing frustration that the Fed has not more aggressively reduced borrowing costs under Chairman Jerome Powell.

In an interview with the Journal, Trump aggressively pushed for lower rates, saying they should be « 1 percent and maybe lower. »

On Wednesday, the Fed lowered its key interest rate to 3.5% to 3.75%, its third cut in as many meetings. Three central bank officials disagreed with the decision, and the Federal Open Market Committee remains uncertain about further cuts.