Washington Quake: Trump Threatens to Oust Federal Reserve Chair and Hints at Secret Successor

A High-Stakes Clash Between the White House and the Fed

In a move that could send shockwaves through global markets, President Donald Trump has ignited a public confrontation with the central bank, hinting at the potential removal of the Federal Reserve chair, Jerome Powell, before his term expires in May.

Speaking from his Mar-a-Lago resort, Trump confirmed he has a "favorite candidate" to succeed Powell but is choosing to wait until January to make the formal announcement, leaving investors on edge with his remark: "Maybe I’ll do it."

The Secret Shortlist for the Future of Monetary Policy

Financial circles are buzzing with speculation over who will next lead the Federal Reserve.

High-profile names on Trump’s radar include National Economic Council Director Kevin Hassett and former Fed Governor Kevin Warsh.

Other potential finalists include current governors Christopher Waller and Michelle Bowman, as well as BlackRock’s Rick Rieder.

This battle for control over monetary policy comes at a critical juncture, as Trump seeks to implement an economic vision that may challenge the central bank's long-standing independence.

Revisiting Inflation Targets and Global Market Impact

The administration's ambitions extend beyond personnel changes to core policy shifts, with Treasury Secretary Scott Bessent suggesting a potential re-evaluation of the Federal Reserve's 2% inflation target.

Any perceived threat to the bank's autonomy could trigger significant volatility for the US Dollar.

Meanwhile, market analysts suggest that 2026 could be a landmark year for alternative assets like Bitcoin and precious metals, as they often thrive during periods of monetary uncertainty and institutional shifts in Washington.