Kevin Hassett, one of President Donald Trump’s longest-serving economic aides, is the early frontrunner to replace Jerome Powell as Federal Reserve chief next year, according to people familiar with the process.

A new report shows inflation has picked up and analysts believe the prices of many goods increased, in part, because of President Trump’s tariffs. It will play into decisions by the Federal Reserve about when and whether to cut interest rates and comes as the president and his team have ramped up their pressure campaign on Fed Chair Jerome Powell.

President Donald Trump has intensified his criticism of Federal Reserve Chairman Jerome Powell, aiming to replace him with someone who will lower interest rates.

A Fed policy rate that low is not typically a sign that the U.S. is the "hottest" country in the world for investment, as Trump has said.

President Donald Trump on Thursday continued his extraordinary and targeted verbal attacks on Federal Reserve Chair Jerome Powell, calling for a massive 2.5-point reduction in interest rates.

That leaves its key rate at 2%, more than 2 percentage points below the Fed’s 4.25% to 4.5% and among the largest gaps between the regions in recent memory.

National Economic Council director is one of the US President's longest-serving economic aides. Read more at straitstimes.com. Read more at straitstimes.com.