Fed Credibility Returns Amidst Rate Hike and Hawkish Global Monetary Stance

Federal Reserve Chair Kevin Warsh delivered a terse policy statement that has marked the end of central bank 'oversharing', according to Bank of America Securities.

The 130-word statement is the shortest since 2007, representing a significant shift away from the lengthy forward guidance characteristic of the Powell and Bernanke eras.

Warsh led a unanimous quarter-point interest rate hike to 3.75%, 4.00%, citing that underlying inflation is not moving toward the 2% goal at a sufficient speed.