According to Gary Black, market pricing implies a 95% probability of a 25 bp Fed funds rate cut on Wednesday to 3.5–3.75%, with two additional 25 bp cuts expected in March and June 2026, and Powell likely to lean hawkish at the press conference to appease FOMC inflation hawks, source: Gary Black (X, Dec 7, 2025). He states that National Economic Council Director Kevin Hassett is the frontrunner for the next Fed chair and could join as soon as February, potentially rendering Powell a lame duck for the final months of his chairmanship, source: Gary Black (X, Dec 7, 2025). Black adds that Hassett is a known dove, likely lifting inflation expectations, which he cites as a reason the 10-year Treasury yield has risen in recent weeks, source: Gary Black (X, Dec 7, 2025). For crypto traders, easing policy and rising inflation expectations have historically coincided with stronger performance in liquidity-sensitive risk assets, including BTC and ETH, when real yields fall, source: ARK Invest, Big Ideas 2023; Federal Reserve, Financial Stability Report 2023.

According to @KobeissiLetter, President Trump is reportedly considering naming Treasury Secretary Bessent as his top economic adviser if Kevin Hassett becomes the next Fed Chair, with Bessent retaining the Treasury role, source: @KobeissiLetter. The post states this would be in addition to Bessent’s current position and frames it as a new era of financial policy, implying more centralized economic policy leadership, source: @KobeissiLetter. No official confirmation from the administration, Treasury, or the Federal Reserve was provided in the post, highlighting headline risk for markets, source: @KobeissiLetter. For traders, Fed Chair–linked leadership headlines can rapidly reprice U.S. Treasury yields, the U.S. dollar index, and crypto beta such as BTC and ETH; monitor DXY, 2Y and 10Y UST yields, and front-end rate futures for volatility following this report, source: @KobeissiLetter.