MarketPR
US government bonds fell after Federal Reserve officials signaled a tilt toward higher interest rates, with the central bank drawing a hard line against a fresh burst of inflation linked to the war with Iran.
The move marks one of the first major policy signals of the Kevin Warsh era at the Fed.
Warsh Steps In, Rates Step Up The shift in Fed tone lands as Warsh begins his tenure leading the central bank, a transition that markets had already flagged as likely to bring a more hawkish posture toward price stability.
Officials made clear they view the inflation spike — traced to the Iran conflict and its knock-on effects across energy and supply chains — as a threat that cannot be absorbed quietly.
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