Everyone’s talking about #whoisnextfedchair as the U.S. Federal Reserve is about to get a new leader. Fed Chair Jerome Powell’s term ends in May 2026, and markets are watching closely because whoever replaces him could change how interest rates and inflation are managed.
Right now the selection process has been narrowed to a few front-runner names. Prediction markets and insiders are focusing on Kevin Warsh and Kevin Hassett as the most likely picks. Warsh is a former Fed governor with strong economic experience, and markets have put him ahead in some betting odds thanks to his pro-bitcoin and market-friendly views. Hassett, a close Trump economic adviser, is also seen as a top contender because he supports looser monetary policy that could boost growth and markets.
Treasury Secretary Scott Bessent has even said Trump might announce the new Fed chair as soon as next week, so the wait is almost over.
Why this matters: the next Fed chair will play a key role in interest rate decisions, currency strength, and inflation control. A hawkish choice could keep rates higher longer, while a more dovish pick might accelerate cuts and push risk assets higher. In short, the market reaction could be immediate and strong.
