The Federal Reserve may already have the so-called shadow chairman that President Donald Trump has said he might soon appoint in a move that could be seen as part of a pressure campaign to lower interest rates and reduce government borrowing costs.

WASHINGTON, July 13 (Reuters) - U.S. President Donald Trump has the authority to fire Federal Reserve Chair Jerome Powell for cause if evidence supports that, White House economic adviser Kevin Hassett said on Sunday and that the Fed "has a lot to answer for" on renovation cost overruns at its Washington headquarters.

One is rising to the top of the list of potential candidates, while the other is facing skepticism from President Trump’s allies.Kevin Hassett, one of Trump’s closest economic advisers, is emerging as a serious contender to be the next Fed chair,

President Donald Trump said he would consider National Economic Council Director Kevin Hassett to replace Jerome Powell as chair of the Federal Reserve. Hassett said he believes the Fed should remain independent but wouldn’t comment on if he would take the job if it was offered to him.

National Economic Council Director Kevin Hassett joins ‘Squawk Box’ to discuss President Trump's recent tariff announcement on Europe and Mexico, his views on the work of Fed Chair Jerome Powell, and more.

Two Republicans named Kevin—Kevin Hassett, one of President Trump’s closest economic advisers and Kevin Warsh, a former Federal Reserve governor—are vying to be the next leader of the central bank. Th