Trump personally called out: If Hua Xu takes office as Fed Chair, the U.S. dollar interest rate will be cut immediately!

On April 15th, Trump personally stated that once Kevin Warsh takes over as Fed Chair, interest rates will decline—more directly than what Treasury Secretary Bessent said.
(Background: The Fed’s new chair appeared at a hearing on 4/13, and Warsh’s “monetary policy overhaul” was blasted as Trump’s rubber stamp.)
(Additional background: The Federal Reserve’s “messenger” warned that Warsh taking charge of the Fed is fraught with risks; Powell is hanging on and won’t leave, and the Iran conflict led the FOMC to refuse rate cuts.)

U.S. President Trump went live on the evening of 4/15, saying that interest rates will immediately fall after Kevin Warsh takes over as Fed Chair in place of “Powell” in the Federal Reserve—plainly and directly, with no timeline or conditions, meaning: “As soon as Warsh takes office, rates are cut.”

Yesterday (4/14), Treasury Secretary Bessent had already laid the groundwork in an interview with Reuters: “We hope Warsh can be in place as soon as possible,” and “I think we should wait for new chair Warsh to take office so he can lead the next rate-cut cycle.”

Bessent warmed up the scene yesterday, and tonight Trump personally took over and made the point explicit, with the target squarely on next Tuesday’s congressional hearing.

In addition, Trump said, “If Powell doesn’t resign, I will fire him.”

Warsh’s Senate confirmation hearing is scheduled for 4/21 (Tuesday) at 10:00 AM, hosted by the Senate Banking Committee—where you’ll see how it really plays out on site that day.

The current chair Powell’s term expires in May. However, Republican Senator Thom Tillis (North Carolina) has already publicly vowed that he will wait for the Department of Justice’s investigation results into Powell before considering confirming Warsh.

The market isn’t buying it for now. CME FedWatch data shows the market is only pricing in two rate cuts for all of 2026, each worth 1 basis point, with timing in October and December—there is no rate-cut pricing in the near term. The yield on the 2-year U.S. Treasury is close to 4%, which likewise reflects that the market doesn’t believe the narrative that rate cuts will happen “soon.”