MarketPR
Federal Reserve Chairman Kevin Warsh declined to offer any forward guidance at his inaugural news conference last week, leaving markets to price a policy range that runs from multiple rate hikes beginning as early as late July to an indefinite hold.
With the Fed's preferred inflation gauge up 3.4% over the past 12 months — and price pressures running above the 2% target for five consecutive years — the absence of a readable reaction function is reshaping how traders and analysts model rate risk.
Warsh's Deliberate Silence Warsh told reporters at his first press conference that he could not give any indication of what the committee would do next, noting only that the next scheduled meeting was roughly six weeks away.
That reticence is not accidental.
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