Not Your Average Banker
Christopher Waller is not the type of guy you expect to see crunching numbers at the Federal Reserve.
Most central bankers are quiet academics. Waller is different. He is a devoted weightlifter who can deadlift 360 pounds. He compares monetary policy to mixed martial arts. He speaks plainly and carries himself with an intensity that matches the current political moment.
If you were building a central banker from scratch to get along with President Donald Trump, you would build Christopher Waller.
The “Choke Hold” on Inflation
Waller was appointed by Trump during his first term and has since carved out a unique lane. He projects an energy that aligns perfectly with the MAGA movement.
He once described fighting inflation with a vivid MMA metaphor.
“It made me feel like an MMA fighter who keeps getting inflation in a choke hold, waiting for it to tap out, yet it keeps slipping out of my grasp at the last minute,” Waller said. But he promised the crowd that “submission is inevitable” and that inflation wasn’t getting “out of the octagon.”
Trump loves that kind of talk. He loves the UFC so much he plans to host a fight at the White House this year.
The Only Bridge Left?
Waller interviewed for the top job at the Fed last month. While he is seen as a long shot for the Chair position, his influence is undeniable.
The Trump administration is currently launching a legal blitz against the Federal Reserve. The Justice Department is investigating outgoing Chair Jerome Powell. Powell is fighting back hard. The institution is under siege.
This is where Waller becomes critical.
Whether he gets the big chair or not, Waller acts as a bridge. He shares many of Trump’s policy preferences, specifically a desire for lower interest rates. But he also commands deep respect inside the bank. He isn’t a “yes-man” or a puppet. He has the credentials to convince his colleagues to cut rates without looking like he is just following orders from the Oval Office.
The Prediction That Changed Everything
Waller has street cred in the economics world for one big reason. He was right when everyone else was wrong.
In 2022, he predicted the Fed could bring down inflation without causing massive unemployment. Heavyweights like former Treasury Secretary Larry Summers disagreed. Waller won that debate.
That track record gives him power. When business executives at a recent Yale summit were polled on who they wanted as Fed Chair, a stunning 81% chose Waller.
Walking the Tightrope
However, Waller is not a guaranteed rubber stamp for the President.
Trump believes he should have a direct “say” in interest rates. Waller disagrees. He has gently pushed back, stating that the proper channel for communication is the regular breakfast between the Treasury Secretary and the Fed Chair.
He also voted for a jumbo rate cut weeks before the 2024 election. Trump hated that move and claimed it helped Democrats. Yet, the President doesn’t seem to hold a grudge.
When asked about Waller after a meeting in December, Trump gave a simple review.
“He’s fantastic.”
The Bottom Line
The next few months at the Federal Reserve will be chaotic. The DOJ is circling. The markets are watching.
Christopher Waller sits right in the eye of the storm. He is the only person who can speak Trump’s language while keeping the respect of the PhD economists in the room.
David Andolfatto, a former colleague, summed it up best. He recalled a time Waller fired a senior staffer who tried to fight his reforms.
“That’s the type of firm, decisive action that that man is willing to take,” Andolfatto said.
In Trump’s Washington, that might be exactly what is needed.