Fed Chief Warns of Potential Rate Hikes Amid Persistent Inflation

Fed Chair Kevin Warsh hinted at possible interest rate hikes to combat elevated inflation in his first high-profile speech at the Fed's annual conference in Jackson Hole, Wyoming.

Warsh acknowledged that recent US data show a slight cooling of inflation, but emphasized that underlying trends have not meaningfully improved. He stated, 'they do not tell me that underlying trends have meaningfully improved.'

This suggests that the central bank may need to raise interest rates in the coming months to bring down inflation.