Kevin Hassett Signals Openness to Fed Chair Role as Markets Bet on Faster Rate Cuts

White House economic advisor Kevin Hassett has indicated he is willing to serve as the next Federal Reserve chair if appointed by President Donald Trump, a statement that arrives as financial markets increasingly price in faster monetary easing in 2025. Hassett made the remarks on Fox & Friends, telling viewers he would be “happy to serve,” reinforcing rising speculation that he is the leading contender to replace Jerome Powell when his term ends next year. His comments underscore expectations that the central bank will move swiftly if economic conditions weaken further.

Market sentiment has shifted notably in recent weeks, especially in prediction markets tracking interest-rate decisions. Kalshi data now shows an 87% probability of exactly three Federal Reserve rate cuts in 2025—an all-time high and a strong signal that traders expect a clear easing path rather than an uncertain policy spread. This growing confidence has spilled into crypto markets as well, where assets like Bitcoin have reacted positively to the prospect of more accommodative monetary policy.

Hassett’s rising prominence has further fueled this momentum. A separate Kalshi market tracking the next Fed chair now places him in the lead with 55% odds, well ahead of Christopher Waller at 22% and Kevin Warsh at 12%. The sharp rise in Hassett’s odds over the past several sessions suggests investors are increasingly favorable toward a candidate known for advocating quicker rate cuts and maintaining close ties with the Trump administration. His macroeconomic stance is widely viewed as supportive of risk assets, including equities and cryptocurrencies.

If chosen, Hassett would take office during a period of easing inflation but mixed growth indicators. His pro-growth orientation positions him at the center of debates over how quickly the Fed should cut rates and how aggressively it should support the broader economy—making his potential appointment one of the key economic storylines heading into 2025.