According to The Wall Street Journal, President Trump has elevated Kevin Warsh to the top tier of his Fed chair shortlist, with other candidates still in contention. Warsh, a former Fed governor, reportedly gained momentum after a recent meeting with the President. While markets had priced in Kevin Hassett as the frontrunner, Trump acknowledged both candidates as viable options and noted several other distinguished names remain under review.

Democratic Senator Elizabeth Warren warned that a presidential pick could turn the Federal Reserve into a political instrument if a candidate is perceived as a ‘puppet’. Trump reiterated that the Fed Chair should consult with the President on interest-rate decisions, challenging the central bank’s traditional independence. For crypto markets, such policy visibility can drive risk sentiment and liquidity conditions.