Anticipation for Federal Reserve's Final Rate Decision of 2025
As the Federal Reserve approaches its final interest rate decision of 2025, forecasts regarding its upcoming announcement continue to emerge.
Hassett's Interest Rate Forecast
The latest prediction comes from Kevin Hassett, Director of the White House National Economic Council, who has been a subject of speculation for the role of the next Fed Chair. Speaking to Fox News, Hassett indicated that the Federal Reserve should implement a 25 basis point interest rate cut in its decision due next week.
Hassett, who expects a 25 basis point reduction, pointed to recent statements from Federal Reserve administrators as signaling a move towards easing monetary policy.
“I think we should cut rates, and I think we probably will. It seems much more clear that the Fed members are leaning towards a rate cut now.”
Hassett on Future Fed Chair Role
When questioned about the potential number of interest rate cuts he might oversee if appointed Fed Chair, Kevin Hassett responded with caution. He stressed that the chair's primary responsibility is to be "very data-sensitive," meticulously evaluating the impact of interest rates on inflation and employment. However, he declined to provide a specific figure for future rate adjustments.
Speculation on Fed Chair Candidacy
Addressing the ongoing speculation about his potential appointment as Fed Chair, Hassett commented, "The president has several candidates he's considering… I'm honored to be on the same list as some wonderful people."
U.S. President Donald Trump, who has frequently commended Hassett and alluded to his consideration for the position in recent days, announced that he has finalized his decision for the Federal Reserve chairmanship and intends to reveal the chosen candidate in early 2026.
During a White House event on Tuesday, President Trump remarked, "I think there's a potential Fed chair candidate here. All I can tell you is he's a respected person."