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Hassett supports Powell's explanation about staying on as "acting chairman of the Federal Reserve".
Hassett said on Wednesday: "I think this is the appropriate legal understanding."
Trump has nominated Warsh to replace Powell, but Republicans currently do not have enough votes to move the nomination from the Senate Banking Committee to the full Senate for a confirmation vote.
Republican Senator Tom Tillis said he will delay the vote until the Department of Justice stops its so-called "sham" investigation into cost overruns on the Fed building renovation project.
Hassett said of Warsh: "We are very confident that he will become chair in due time. I believe there will be discussions on how to proceed."
(Jin Shi) (Source: ODAILY)