Economic advisor to the White House, Kevin Hassett, has indicated that he is willing to become the next Federal Reserve chair in the event that he is appointed by President Donald Trump.
His quote is made at a time when markets anticipate Fed faster Fed rate cuts. It is also proof that the central bank will take swift measures in response to weak market conditions.
Hassett Remarks Align With Market’s Interest For More Rate Cuts
These comments by Kevin Hassett was made on the Fox and Friends show and confirms the increasing speculation that he has become the favorite to be Fed chair when Jerome Powell vacates the position next year. A Reuters report shows Hassett stating he would be “happy to serve,” giving the clearest signal yet that he is prepared to take the role if nominated.
His remarks come as election-year pressure on monetary policy grows and as prediction markets move sharply toward a specific view of the Fed’s path in 2025. Crypto market sentiment has been shifting as well, with assets like Bitcoin reacting to renewed expectations of policy easing.
A Kalshi chart tracking expectations for rate cuts shows an 87% probability of exactly three cuts this year, a new all-time high. Traders are concentrating around a clear easing scenario rather than a scattered policy outcome.
The chart shows traders expecting three rate cuts in 2025.Hassett Becomes Clear Favorite in Fed Leadership Race
Hassett’s emergence as the leading candidate for the Fed chair adds another layer to this optimism. A separate Kalshi market tracking the next Fed chair shows Hassett leading with 55% odds.
Christopher Waller follows him in second position at 22% with Kevin Warsh at 12%. The chart indicates that during the last couple of sessions, the odds for Hassett spiked. This suggests that there are a lot of investors would prefer a Fed chair that supports faster rate cuts.
The odds show that Hassett is now the “clear favorite” for the position. The post highlights his reputation for supporting faster rate cuts and his close alignment with the Trump administration.
The post also states that his macro position is considered to be bullish towards stocks and crypto. These developments put Hassett at the center of political and financial discussions.
If appointed, he would start his tenure at a time when inflation is declining. Although, other indicators of economic growth are still mixed. Based on his statements, Kevin Hassett has a popular inclination towards growth-oriented policies. This makes him a key figure in discussions regarding rate cut timing and the Fed’s easing strategy.
Source: https://coingape.com/kevin-hassett-opens-door-to-fed-chair-role/
