Powell's tenure is not over just yet. Because Warsh has not been sworn in, Powell will serve as chair pro tempore, the Fed said on Friday. Bowman and Miran say they didn't support the temporary designation
Waller: "I can no longer rule out rate hikes further down the road if inflation does not abate soon"
He becomes the latest Fed official to endorse removing the easing bias from the statement and making clear that a rate hike is just as likely as a rate cut going forward
Really enjoyed speaking with Pres. Paulson about her outlook. She says rates are still “mildly restrictive,” even as she ratified market pricing for no cuts this year and the possibility of a hike later on
We also talked about AI, the dot plot and her thoughts on centralizing Fed operations
Complicating the rates outlook is a likely shift in the Fed's comms. Warsh says officials talk too much and box themselves in
That creates a self-reinforcing loop, Warsh believes. Instead of giving an independent judgment on the state of the economy, markets reflect what the Fed has signaled
As Warsh gets sworn in, the case for cuts has evaporated. Fed officials have embraced the possibility of hikes, sending Treasury yields higher
Pushing for cuts would both isolate Warsh from his new colleagues and risk higher, not lower, long rates www.nytimes.com/2026/05/22/u... @nytimes.com
Key line in April's Fed minutes: A majority of officials embraced the possibility of higher rates to counteract the inflation surge
www.federalreserve.gov/monetarypoli... @nytimes.com
Our full write-up: www.nytimes.com/2026/05/20/b...
In his first remarks after stepping down as Fed chair, Powell says the central bank is undergoing a “stress test” and says the removal of officials over policy disagreements would undermine its credibility
www.federalreserve.gov/newsevents/s...
On the eve of Warsh's swearing in as Fed chair on Friday, here's our piece from last week about what he means by regime change and how likely he is to achieve that
www.nytimes.com/2026/05/15/u... @nytimes.com
The mild 0.2% monthly increase in core inflation in May will be viewed positively by officials at the Fed. Their primary concern is that price pressures caused by the war could start to broaden out beyond categories like food and energy www.nytimes.com/live/2026/06...
Thank you, Jack, for that kind introduction. It is a great privilege to be here tonight with you, Ambassador Kennedy, and your family. And thank you to the JFK
NEW: Warsh wants regime change at the Fed and missteps during Powell's tenure made the central bank vulnerable to that kind of criticism
But an assessment of Powell's 8 yrs as chair points to a far more constructive legacy than Warsh portrays www.nytimes.com/2026/05/15/u... @nytimes.com
As Warsh gets sworn in, the case for cuts has evaporated. Fed officials have embraced the possibility of hikes, sending Treasury yields higher
Pushing for cuts would both isolate Warsh from his new colleagues and risk higher, not lower, long rates www.nytimes.com/2026/05/22/u... @nytimes.com
Key line in April's Fed minutes: A majority of officials embraced the possibility of higher rates to counteract the inflation surge
www.federalreserve.gov/monetarypoli... @nytimes.com
Join the Atlanta Fed at 7 p.m. (ET) for the closing keynote of its 30th annual Financial Markets Conference, featuring @philadelphiafed.bsky.social president and CEO Anna Paulson, with @nytimes.com reporter @colbylsmith.bsky.social moderating. Watch: atlfed.org/4dhXUHI #FedFMC
