Warsh Eyes FOMC Meeting Frequency Cuts Amid Organizational Overhaul

Federal Reserve Chair Kevin Warsh is exploring a reduction in the frequency of FOMC meetings from eight per year, according to sources. This proposal was made during the recent FOMC meeting held on July 28 and 29. If implemented, it would represent a significant revision to the Fed's policy operations framework.

The current schedule has FOMC meetings at roughly six-week intervals, with projections for the economy and policy rate path published after the March, June, September, and December meetings. A formal change is expected to be decided at a future meeting, but a policy on schedule revisions could be indicated as early as the next meeting scheduled for mid-September.

Chair Warsh has also signaled an intention to reduce the frequency of post-meeting press conferences, aiming to streamline communications. This move is part of a broader effort by the Fed to review its organizational management, with five internal task forces established to examine key areas such as communications strategy and data analysis.