Washington: US Treasury Secretary Scott Bessent announced he will commence interviews with potential candidates for the next Federal Reserve chair immediately following Labor Day, which falls on September 1.

According to Anadolu Agency, Bessent disclosed that the pool of candidates consists of 11 individuals, including current and former Federal Reserve officials, economists, a White House advisor, and Wall Street professionals. The list features notable names such as Fed governors Michelle Bowman and Christopher Waller; Dallas Fed President Lorie Logan; White House economist Kevin Hassett; and former governors Kevin Warsh and Larry Lindsey. Other candidates include Rick Rieder of BlackRock, David Zervos of Jefferies, economist Marc Sumerlin, and former St. Louis Fed President James Bullard.

Although current Fed Chair Jerome Powell's term is set to expire in May 2026, the Trump administration is expediting the selection process due to President Donald Trump's belief in the urgent need for an interest rate reduction. Bessent emphasized the administration's call for easing monetary policy, which he believes would invigorate the struggling US housing market. He stated that a significant rate cut could potentially lead to a surge in home building, thereby stabilizing housing prices in the long term.

The Federal Reserve's next monetary policy meeting is scheduled for September, during which the central bank is anticipated to implement its first rate cut since December 2024. Despite a recent producer price index showing the largest monthly increase in three years, Bessent expressed minimal concern, attributing the rise to an upsurge in portfolio fees associated with climbing stock market prices.