Warsh to Curb Fed Guidance, Signal Fewer Than 8 Press Conferences
Updated
Updated · POLITICO · Jun 17
Warsh to Curb Fed Guidance, Signal Fewer Than 8 Press Conferences
3 articles · Updated · POLITICO · Jun 17
Summary
Kevin Warsh is set to scale back the Fed’s forward guidance and may hold fewer than the eight post-meeting press conferences Jerome Powell gave each year.
Trump disclosed the shift while pressing for rate cuts, but Warsh’s first major test could be resisting that pressure if inflation and other data do not justify easing.
18 other policymakers can still speak publicly, limiting Warsh’s control over the message; JPMorgan’s Michael Feroli said cutting press conferences would amplify voices the chair may not want to elevate.
Beth Hammack of the Cleveland Fed has already warned rates may need to rise if recent trends persist, underscoring the communication challenge with inflation still above the Fed’s 2% target.