Trump Says Anyone Who Disagrees With Him ‘Will Never Be The Fed Chairman’ As Rate Fears Kill Rallies

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Trump linked the Fed Chair role to agreement with his views on interest rates as the selection process continues.

  • Trump argued that markets no longer rise on strong economic data because investors expect rate hikes.
  • He called for interest rates to be lowered during market strength rather than tightened.
  • The comments come as the White House continues interviews for the next Federal Reserve Chair.

U.S. President Donald Trump said anyone who disagrees with his views on interest rates “will never be the Fed Chairman,” arguing that strong economic data is being misinterpreted by Wall Street and punished by the Federal Reserve.

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Trump Says Rate Fears Are Blocking Market Rallies

In a lengthy post on Truth Social, Trump pointed to stronger-than-expected GDP growth, saying the economy expanded by more than forecasts despite what he described as downward pressure from a recent government shutdown. He said markets no longer rally on good news because investors now assume the Fed will raise rates to counter potential inflation.

Trump said that in earlier decades, strong economic data lifted markets, but claimed the dynamic has reversed as rate fears dominate investor behavior. He argued that strong or even “phenomenal” markets do not cause inflation, blaming policy decisions instead.

“I want my new Fed Chairman to lower Interest Rates if the Market is doing well, not destroy the Market for no reason whatsoever,” Trump wrote. He added that inflation could be addressed later if it materializes, but warned that raising rates during rallies risks a “kill” in market momentum.

Trump also said that encouraging rising markets could significantly boost economic growth, claiming GDP gains of 10 to 20 points annually were possible if rallies were not cut short by tighter monetary policy.

“The United States should be rewarded for SUCCESS, not brought down by it,” he wrote.

Hassett Echoes Rate-Cut Case

Trump’s comments follow recent remarks from White House National Economic Council Director Kevin Hassett, who said the Federal Reserve has been slow to adjust policy despite changing growth dynamics driven by new technologies. 

Speaking to CNBC, Hassett said recent GDP data reflects gains from artificial intelligence-driven productivity and added that the U.S. lags other major economies in cutting interest rates. He has said the Fed’s independence is important, while noting that presidential input should not automatically disqualify a Fed Chair candidate.

Fed Chair Interviews Ongoing

Meanwhile, the search for the next Federal Reserve Chair continues. Fed Governor Christopher Waller reportedly had a “strong interview” with Trump last week at the President’s residence. 

BlackRock Chief Investment Officer of Global Fixed Income Rich Rieder is scheduled to be interviewed for the role during the final week of 2025. The shortlist has narrowed to four candidates, with Fed Governor Michelle Bowman reportedly no longer in contention, while Hassett and former Fed Governor Kevin Warsh have already completed interviews.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment showed ‘high’ message volume for both the SPDR S&P 500 ETF Trust, which was rated ‘neutral’, and the Invesco QQQ Trust, which was rated ‘bearish’. Meanwhile, the SPDR Dow Jones Industrial Average ETF Trust had ‘bullish’ sentiment amid ‘normal’ message volume.

So far this year, SPY is up 0.4%, while QQQ and DIA are each up 0.3%.

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