Trump evaluates announcing Powell's successor ahead of schedule to put pressure on Fed chief and improve market expectations

President Donald Trump is seriously considering forwarding the announcement of his nominee to lead the Federal Reserve (Fed) in a bid to put pressure on the agency's chief, Jerome Powell, and begin to improve market expectations in the midst of a dispute over the direction of monetary policy.

Although Powell's term ends in 11 months, Trump is already weighing unveiling his pick for September or October, or even earlier, during the summer, according to an exclusive report by The Wall Street Journal.

The move, which would be highly unusual, would allow Trump's nominee to influence investors' expectations and thus the markets, seeking to install his vision on the interest rates in a context where the president publicly opines that the Fed is moving too slowly toward cuts, taking direct aim at Powell.

According to the WSJ, top names under consideration include Kevin Warsh, former Fed governor; Kevin Hassett, director of the National Economic Council; Scott Bessent, current Treasury secretary; David Malpass, former World Bank president; and Christopher Waller, current Fed governor.

All candidates, according to the report, have sufficient credentials to lead the independent body, but Bessent is the one who has gained ground in recent weeks for his profile loyal to President Trump and his good tune with the markets.

According to the WSJ, Bessent has already said privately that he has not ruled out taking on the challenge of leading the central bank even though he has publicly stated that he wants to fully serve out his term at the helm of the Treasury.

Pushing Bessent's candidacy would make sense for Trump, who has a clear goal of aligning the country's monetary policy with his economic agenda. In recent months, Powell has become a problem for the White House for holding down interest rates, struggling to resist federal government onslaughts, and maintaining his independence from the executive.

Recently, Powell discouraged cutting rates in the coming months, warning that a mistake in managing inflation could have lingering consequences for the economy.

Indeed, just this week, Trump asserted that he is ready to move quickly to replace Powell.

"I know within three or four people who all I’m going to pick," Trump told reporters at the NATO summit. “He goes out pretty soon, fortunately, because I think he’s terrible.”

The move to announce a replacement too far in advance, however, is a big risk. While markets could react positively to a White House-aligned candidate, the same person could quickly become exposed to severe press criticism or engage inappropriately with current Fed members.

Whatever the situation, an early nominee could easily be in the crosshairs, even losing the possibility of confirmation if he or she generates backlash in the markets or in Congress.