Podcast Summary: Balance of Power – "Hassett Emerges as Fed Pick Frontrunner"

Date: November 25, 2025
Host: Joe Mathieu (with Kailey Leinz, Nancy Cook, Jeannie Shanzano, Ashley Davis, Dean Ball, Kelly Grieco)
Source: Bloomberg

Episode Overview

This episode of "Balance of Power" centers on two major developing stories out of Washington:

1. The emerging likelihood of Kevin Hassett being selected as the next Federal Reserve Chair in a potential second Trump administration.
2. Critical health care reform negotiations ahead of a key December vote, with deep partisan divides. Later, the conversation shifts to key tech news in AI chip competition and then concludes with a detailed segment on Ukraine-Russia peace talks and the current state of the war.

Key Segments & Insights

1. Kevin Hassett as Potential Fed Chair

[00:40–06:45]

• Main Takeaway: Kevin Hassett, current National Economic Council Director, is now the frontrunner for the Federal Reserve chairmanship if Donald Trump wins a second term.
• Key Points:
  • Hassett has been a visible and vocal proponent of Trump’s economic policies, making frequent TV, summit, and interview appearances.

    "He is going on TV constantly to deliver the White House's economic message. So I think that proximity really matters." – Nancy Cook [01:44]

  • His proximity to Trump and willingness to push for rate cuts align him with the administration's goals.
  • Kevin Warsh is noted as another contender, but is seen as more "Wall Street" and less closely connected to Trump.
  • Trump has openly floated Scott Bessant as both Treasury Secretary and Fed Chair, but Bessant is not interested in holding both roles.
  • Next steps: finalist interviews with senior advisors and Trump; reminiscent of “The Apprentice” interview style.
• Notable Quotes:
  • "If the president asked me to be Fed Chair, then of course I'll do it. But if I have not Fed Chair, don't be disappointed for me because I love the job that I have right now." – Kevin Hassett (via earlier interview) [00:40]
  • "He is very much in line with the Trump agenda." – Nancy Cook [06:26]

2. AI Chips & Tech Market Competition

[10:20–16:15]

• Main Takeaway: Discussion of Google’s new AI chips (TPUs) entering the market as a potential competitor to Nvidia’s dominance.
• Key Points:
  • Broadcom-designed TPUs could disrupt Nvidia’s high profit margins if Google successfully builds a developer ecosystem.
  • The major obstacle is Nvidia’s entrenched software (CUDA) which developers rely on.
  • Market reactions have seen Google’s stock rise, Nvidia’s fall; analysts warn about overreaction.
  • Data center demand remains high, and new chips won’t render existing infrastructure obsolete overnight.
• Notable Quotes:
  • "In any well-functioning capitalist system, if there's a company making 80, 90% profit margins as Nvidia does, you should expect there to be competition to start to lower those margins." – Dean Ball [10:20]
  • "Competition is inherently accelerationist. Right. So competition is great in that regard. I hope it makes both Nvidia and Google better." – Dean Ball [15:37]

3. Healthcare Reform Drama on Capitol Hill

[17:58–29:11]

• Main Takeaway: The White House faces backlash for the rollout and lack of communication on a health care proposal to extend Obamacare subsidies as the December deadline looms.
• Key Points:
  • Proposal to extend ACA subsidies and cap eligibility surprised many Republicans, with inadequate communication to the Hill.
  • Joe Matthew and panelists (Jeannie Shanzano, Ashley Davis) highlight political risk for both parties as the expiration nears.
  • The need for bipartisan cooperation is urgent; a short-term extension (similar to a continuing resolution) may be necessary.
• Notable Quotes:
  • "This is hurting Republicans in the polls as they head into the midterm. But he's facing Republicans who have years voted against Obamacare. And now...the White House wants them to turn on a dime..." – Jeannie Shanzano [20:21]
  • "You just can't negotiate with 535 members of Congress. I mean, it's impossible." – Ashley Davis [21:59]
  • "I am not a fan of these sunsetting attempts...If you believe that health care is a right for Americans, you should fund it." – Jeannie Shanzano [28:07]

4. Ukraine-Russia Peace Negotiations & Battlefield Update

[31:17–43:39]

• Main Takeaway: U.S., Ukraine, and Russia are engaged in complex, fraught negotiations over a new peace proposal—amid an ongoing, costly war.
• Key Points:
  • Peace talks in Abu Dhabi reduce the proposal from 28 to 19 points; skepticism remains about breakthrough potential.
  • Russia is gaining ground but at significant cost; Ukraine focuses strikes on Russian energy infrastructure.
  • Any security guarantee for Ukraine remains vague and is a major sticking point.
  • Winter battles may further favor Russian tactics; Ukraine faces tough decisions about how and where to allocate forces.
  • Delivery of new weapons (e.g., Tomahawk missiles) unlikely to be game-changers—no "wonder weapon" has changed the war's attritional nature so far.
• Notable Quotes:
  • "Russia is making slow, costly gains, particularly in the Donetsk region...this is costly, but there is some movement on the battlefield." – Kelly Grieco [33:54]
  • "I think what we're seeing in the negotiations is, it seems like an increasing recognition...that the best security guarantee is going to have to be a robust self defense..." – Kelly Grieco [36:09]
  • "The idea that it's going to be settled because a bunch of guys come up with 28 points is just not how it happens." – Ambassador Ivo Daalder (quoted) [38:11]
  • "If we've learned anything from this war...the idea of wonder weapons doesn't really exist. A single weapon system cannot decisively change the course of the battlefield." – Kelly Grieco [42:01]

Notable Quotes & Memorable Moments

• On the Trump Fed Pick Process:
  "There are a few remaining hurdles...some interviews with some top aides, the vice President and then Trump." – Nancy Cook [04:36] "Does he put all three...in front of him like The Apprentice? They all get a one-on-one. How is that going to work?" – Joe Matthew [05:26]

• On the urgency in negotiations:
  "If this doesn't get done, Ashley, do we shut down at the end of January?" – Joe Matthew [27:04]

• On the limitations of new weaponry:
  "A single weapon system cannot decisively change the course of the battlefield..." – Kelly Grieco [42:01]

Timestamps for Important Segments

• Kevin Hassett as Fed frontrunner: 00:40–06:45
• AI chip market, Google vs. Nvidia: 10:20–16:15
• Health care reform debate/Republican–White House tension: 17:58–29:11
• Ukraine peace negotiations & current war state: 31:17–43:39

Summary Tone & Style

This episode delivers fast-paced, inside-the-Beltway analysis with moments of humor and candor. The hosts and guests avoid partisanship in favor of clear-eyed reporting and pragmatic discussion, often referencing behind-the-scenes decision-making and market reactions.

For New Listeners

If you missed this episode, you’ll come away with rich context and expert forecasting on the likely direction of U.S. monetary policy, the political landmines of health care reform, the latest in global tech competition, and sobering realism regarding the Ukraine conflict and the challenges of war termination. The conversations tap deep reporting and offer a realistic assessment of headline issues shaping Washington and the world.