Trump says Treasury Secretary Bessent 'does not want' to be Fed chair, but 4 others in running

President Donald Trump told CNBC on Tuesday that he has narrowed the field of potential future Federal Reserve chairs to four candidates, a list that does not include Treasury Secretary Scott Bessent.

While the president did not disclose who is in contention, he revealed that Bessent, previously considered a leading candidate, has taken himself out of contention.

“Well, I love Scott, but he wants to stay where he is,” Trump said during a “Squawk Box” interview. “I asked him just last night, 'Is this something you want?' [Bessent said], 'Nope, I want to stay where I am. He actually said, 'I want to work with you.' It's such an honor. I said, 'That's very nice. I appreciate that.'”

The news follows Fed Governor Adriana Kugler's surprise announcement Friday that she is resigning effective this Friday. The move allows Trump to install another of his appointees to the Fed Board of Governors at a time when the White House is aggressively pushing the central bank to lower interest rates.

Among the likely candidates remaining are former Governor Kevin Warsh and Kevin Hassett, the National Economic Council director and a key Trump advisor. Both have advocated for lower rates. Fed Governor Christopher Waller also is thought to be in the running.

“Both Kevins are very good, and there are other people that are very good, too,” Trump said, adding that Kugler's resignation “was a pleasant surprise.”

Current Chair Jerome Powell's term ends in May 2026. He has been a frequent target of Trump's criticism, and there has been speculation that the president would name a “shadow chair” who could help undermine Powell until his term expires. Trump did not commit to taking that approach but conceded that it is “a possibility.”

Trump nominated Powell for the Fed job in 2017, during his first term as president. The Senate then confirmed Powell the following February. Trump alleged Tuesday that Powell told him, “Sir, I'll keep interest rates so low. I'm a low interest rate person.”

The Fed last week voted to hold its benchmark interest rate steady in a range between 4.25%-4.5%. Markets expect the Fed to approve its next cut in September. The central bank lowered its policy rate a full percentage point from September through December 2024, moves that Trump has said were politically motivated to help Democratic presidential nominee Kamala Harris.