President-elect Donald Trump has signaled his intention to appoint hedge fund executive Scott Bessent as his Treasury secretary, sources told CNBC and NBC News.

The Key Square Group founder was considered a strong favorite for the job, along with a few other close candidates, including former Fed Governor Kevin Warsh and private equity executive Marc Rowan.

As head of the Treasury Department, the 62-year-old Bessent will be both America’s budget watchdog and a key official in helping Trump implement his ambitious economic agenda. He is a heavyweight on Wall Street and an advocate for many of the new president’s economic goals. He would come to power at a critical time, as the US struggles with a growing economy alongside lingering debt and budget deficits.

Like Trump, Bessent favors gradual tariffs and deregulation to stimulate American business and control inflation. In addition, Bessent has advocated for a manufacturing revival and energy independence.

“When you start thinking about the market and thinking about what matters, the guy is brilliant,” said a source familiar with Trump’s thinking who spoke on the condition of anonymity to speak candidly about the matter. “There are not many people who know the market better than Bessent.”

The potential nominee also has deep philanthropic ties through Yale University, along with Rockefeller University and Classical American homes Preservation Trust.

One obstacle Bessent will have to overcome is his past association with billionaire investor and global gadfly George Soros. Bessent was Chief Investment Officer for the Soros Fund.

CNBC has reached out to Trump’s transition team for comment.

Trump’s apparent decision to appoint Bessent to the key position follows a week of intense speculation about who would win. Just this past day, the Wall Street Journal posted a report suggesting that Warsh could get the job and work there until mid-2026, after which he would move to the Federal Reserve and take over as chairman of the Federal Reserve after the term of Jerome Powell had passed.

Placing Bessent in the Treasury post could then pave the way for Warsh to eventually take over at the central bank, although he is also thought to be a contender to head the National Economic Council.