Trump favors choosing Walsh or Hasset to lead the Federal Reserve, stating that the interest rate should be at 1% or lower in a year.

Golden Finance reports that President Trump stated he prefers to choose former Federal Reserve Governor Kevin Warsh or National Economic Council Director Kevin Hassett to lead the Federal Reserve next year. In an interview Friday in the Oval Office, the president called Warsh his top choice. “Yes, I think he is. You know there are two Kevins,” he said, “both of them — I think both Kevins are excellent. Of course, there are other good candidates as well.” In recent weeks, after multiple hints that he has finalized his choice for Federal Reserve Chair, Hassett has increasingly been seen as the top contender. However, Trump’s latest remarks indicate Warsh remains a strong competitor. Sources familiar with the matter said that on Wednesday, Trump held a 45-minute meeting with Warsh at the White House, during which he pressed Warsh on whether he could guarantee support for interest rate cuts if he were to become Fed Chair. Trump confirmed this in the interview. “He believes we need to cut rates,” Trump said when referring to Warsh. “Everyone I’ve talked to agrees.” Trump stated that he believes the next Fed Chair should seek his opinion when setting interest rates. “It’s not usually done now, but it used to be routine, and it should be,” Trump said. “That doesn’t mean — I don’t think he must do exactly as I say. But without a doubt, I — my opinion is valuable and should be heard.” When asked about the interest rate level a year from now, Trump said: “1%, or maybe even lower.” He stated that rate cuts will help the U.S. Treasury reduce the financing costs on $30 trillion of government debt. “We should have the lowest interest rates in the world,” he said.