Hassett Says Trump Respects Fed Independence in Talks
SingTao · 2 SOURCESabout 3 hours ago2 MIN
Summary
White House National Economic Council Director Kevin Hassett said President Donald Trump and Federal Reserve Chair Warsh frequently discuss the economy, while insisting Trump respects the Federal Reserve's independence and will not pressure Warsh over interest rates . Hassett said he was not part of the conversations but was “certain” the president would not try to sway rate decisions, even as the regular contacts have prompted outside concern . He added that Trump and Warsh have long been close, with connections in both New York and Florida, and said he and Treasury Secretary Bessent also speak with Warsh about economic matters . Although such direct presidential contact is seen as unusual, a June schedule cited in reports showed no Trump-Warsh calls or meetings that month, only three breakfast meetings between Warsh and Bessent .
Key Points
- Hassett told Bloomberg he did not join the Trump-Warsh calls, but said he was confident Trump would not pressure the Fed chair on rates .
- He described Trump and Warsh as very close for years, maintaining ties in New York and Florida and regularly discussing economic conditions .
- Hassett said Trump “respects” Federal Reserve independence and trusts Warsh to make data-driven decisions rather than partisan political ones .
- Reports noted that presidents and Fed chairs do speak or meet at times, but such direct contact is relatively uncommon in recent practice .
- A June schedule showed Warsh had no calls or meetings with Trump, but held three breakfast meetings with Treasury Secretary Bessent .
Why It Matters
The story matters because even informal contact between a president and a Fed chair can affect market perceptions of central-bank independence, especially when interest-rate policy is under close scrutiny . Hassett's remarks appear aimed at reassuring investors and the public that monetary policy will remain data-driven despite Trump's close personal relationship with Warsh .