🚨 BlackRock’s Rick Rieder Tapped for Fed Chair?

According to Odaily, Rick Rieder, BlackRock's Global Chief Investment Officer of Fixed Income, is a potential successor to Federal Reserve Chair Jerome Powell. He is scheduled to meet with U.S. President Donald Trump on Thursday for an interview. Amidst this development, Rieder reiterated his support for reducing the U.S. benchmark interest rate to 3%, which would mark the lowest level in over three years.

In a CNBC interview aired on Monday, Rieder expressed his long-standing view that interest rates should be lowered to 3%. He reaffirmed his stance, suggesting that such a move would reduce borrowing costs by at least 50 basis points from the current level.

Following a 25 basis point cut by Federal Reserve officials in December, the current federal funds rate target range stands at 3.5% to 3.75%.

"I believe the Federal Reserve has some room for policy maneuvering," Rieder stated. "My position has been clear for many months. The Fed needs to lower rates, and I think it doesn't need to be by much, just down to 3%—a level closer to the neutral rate." The neutral rate is a theoretical borrowing cost that neither stimulates nor restricts economic growth, allowing the U.S. economy to operate smoothly.