Besant promotes the Federal Reserve's return to traditional behind-the-scenes operations through personnel screening, giving the U.S. Treasury more say

The President of the United States, Donald Trump, stated that the next Federal Reserve Chair will be selected in early January next year. U.S. Treasury Secretary Scott Bessent has organized and overseen the candidate selection process, establishing an agenda that could bring comprehensive changes to the Federal Reserve while pushing for interest rate cuts. U.S. Treasury Secretary Scott Bessent is at a pivotal moment in his government career.

Although the power transition at the Federal Reserve poses risks for Bessent, another more reasonable possibility is that he will gain new powers. He will work with a Federal Reserve Chair willing to cooperate, who may be inclined to grant the Treasury Secretary some powers that have long been considered off-limits for politically sensitive departments within the executive branch. At that point, the Treasury will have a greater say in the Federal Reserve's large-scale asset purchases and sales (referred to as quantitative easing and quantitative tightening, respectively).