Watch CNBC's full interview with White House National Economic Council Director Kevin Hassett

Summary

Kevin Hassett, Director of the White House National Economic Council, joins Squawk Box to discuss the criminal probe into Fed Chair Powell, Fed independence, and the U.S. economy. Hassett declines to comment on DOJ details, defends government oversight, and argues the economy is booming due to Trump policies rather than the Fed. He cites Q4 GDP above 5%, onshoring-driven factory construction, and an expected job blowout in the second half of next year. The interview also covers labor-market distortions from government layoffs and deportations, plus Fed chair succession speculation.

• Hassett declines to comment on the DOJ probe into Powell, citing respect for Fed and DOJ independence.
• He says he would welcome government oversight and compares it to inspectors general.
• He argues the U.S. economy is booming because of Trump policies, not the Fed, with Q4 GDP north of 5%.
• He notes Fed rates remain high and says Trump is frustrated with what he views as Fed partisanship.
• He says government layoffs and deportations mean healthy job growth is closer to 70,000 than 140,000-150,000.
• He expects onshoring and factory building to produce a job blowout in the second half of next year.
• He declines to speculate on the Fed chair race, calling Kevin Warsh a good man.