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What Warsh's Jackson Hole speech signals about where interest rates are headed
Developing
FED DISSENTERS WARN INFLATION COULD BECOME ENTRENCHED WITHOUT MONETARY POLICY TIGHTENING NOW Fed Chair Kevin Warsh emphasized price stability is the central bank's main target at the moment. (David Paul Morris/Bloomberg via ) Gregory Daco, chief economist at EY-Parthenon, noted that Warsh's speech came against a backdrop in which the Federal Reserve's credibility and commitment to its price stability mandate was being questioned amid his resistance to providing forward guidance or discussing economic fundamentals.
"Nearly 100 days into his term as Fed chairman, Warsh delivered some long-awaited humility during his first address at the Kansas City Fed's Jackson Hole Symposium, saying 'we take our responsibility seriously, with humility and resolve,'" Daco said.
That's particularly true if the Fed adopts Warsh's view that there are 'no excuses' for failing to keep inflation in check," Kenwell said.
What's confirmed
What's still developing
- FED DISSENTERS WARN INFLATION COULD BECOME ENTRENCHED WITHOUT MONETARY POLICY TIGHTENING NOW Fed Chair Kevin Warsh emphasized price stability is the central bank's main target at the moment. (David Paul…
- "Nearly 100 days into his term as Fed chairman, Warsh delivered some long-awaited humility during his first address at the Kansas City Fed's Jackson Hole Symposium, saying 'we take our responsibility seriously, with…
- That's particularly true if the Fed adopts Warsh's view that there are 'no excuses' for failing to keep inflation in check," Kenwell said.
Sources
- Fox Businesslink