Seven weeks ago, Warsh took questions from the media, and it didn't go well . Markets sold off as he seemed vague and evasive about the reasoning behind the latest interest rate decision. Wednesday, he gets a do-over. Why it matters: Investors will be thirsty for a more detailed explanation of the Fed's decision than the one Warsh offered in late July — even while respecting his intention not to give explicit guidance about future policy moves. - Markets are pricing in a quarter-point increase in rates — but the why behind that likely move is more significant than the act itself, for what it says about the Fed's analytical framework under its new leadership. - And if the Fed's policymaking Federal Open Market Committee elects to…
State of the Union: The Iran War has caused prices to rise amid an energy supply crunch. The post European Central Bank Raises Interest Rates appeared first on The American Conservative .
The European Central Bank voted on Thursday to raise a key interest rate amid concerns about higher inflation. The ECB raised its deposit rate 25 basis points to 2.50 percent. The Iran War has created an energy supply crunch, sending prices upwards. The ECB’s decision came the same day the price of Brent crude topped $105 a barrel. ECB President Christine Lagarde said the rate hike was unanimous and a “no brainer” given the need to stabilize prices. “With today’s decision, the Governing Council remains well positioned to navigate the uncertainty caused by the conflict,” read a statement released by the ECB. During a press conference, Lagarde rejected French politician Jean-Luc Mélenchon’s proposal to cancel…Open
After Federal Reserve chairman Kevin Warsh's speech in Jackson Hole , the markets penciled in an interest rate hike for the central bank's mid-September meeting. Comments from two influential officials now throw those expectations into question. The big picture: With August jobs and inflation data due out before a policy meeting in two weeks, the decision of whether to tighten policy appears to be on a knife-edge. - A meaningful contingent of Fed leadership is eager to raise interest rates to address stubbornly high inflation, while another, as Fed governor Christopher Waller put it Thursday morning, channeling John Lennon , is willing to "give disinflation a chance." - It's a close enough call that Warsh will likely be able to steer a…
Christopher J. Waller, a Federal Reserve governor, sounded optimistic about inflation’s trajectory but indicated he would support higher rates if progress does not continue.
The Fed chair’s remarks suggest he may be willing to buck the president who appointed him. The post At Jackson Hole, Warsh Set Up a Potential Showdown With Trump appeared first on The American Conservative .
Economy Economy At Jackson Hole, Warsh Set Up a Potential Showdown With Trump The Fed chair’s remarks suggest he may be willing to buck the president who appointed him. Photo by Natalie Behring/Getty Images Kevin Warsh gave his first major speech as chairman of the Federal Reserve on August 28 at this year’s Jackson Hole Economic Policy Symposium. He followed his predecessors in giving clues about the Fed’s future direction—as much as he might prefer not to—and perhaps even set himself on a collision course with President Trump. Hosted by the Federal Reserve Bank…Open
Kevin M. Warsh, the chairman of the Federal Reserve, must soon decide whether to raise interest rates if inflation does not ease, even if it draws President Trump’s ire.
On Friday, Federal Reserve Chair Kevin Warsh delivered his first keynote at the annual monetary policy conference in Jackson Hole, Wyoming, against a backdrop of uncertainty over inflation and how he will guide policymakers as they consider interest rate moves. LiveNOW's Austin Westfall and Associated Press reporter Chris Rugaber discuss Fed Chair Warsh's comments on inflation and the possibility of raising interest rates.
