Warsh Considers Cutting Fed Policy Meetings in Half

Federal Reserve Chairman Kevin Warsh is considering reducing the frequency of central bank policy meetings from eight times per year to as low as four, a move that would be one of the most substantial changes to the institution in decades.

Warsh has been pushing for reforms within the Fed since taking over as chairman in May. He believes that scaling back the number of meetings could improve the central bank's agility in responding to economic conditions and reduce the burden on policymakers, according to sources familiar with the discussion.

The potential reduction would break from a pattern established in 1981 under former Chairman Paul A. Volcker. Critics argue that fewer gatherings could make it more difficult for the Fed to respond quickly to shifting market dynamics and inflation trends.