Warsh Eyes Less Talkative Fed, Drawing on Bank of England's Approach

Kevin Warsh, a former member of the Federal Reserve's Board of Governors, has been critical of forward guidance, which involves central banks signaling future actions to investors. Now, as he considers leading the Fed, his views may be put into practice.

A decade ago, Warsh led a review of the Bank of England that recommended it reduce its communication with markets. Ironically, the BoE has since taken steps in this direction.

Pricing data from June showed inflation trending back towards the Fed's target, with trimmed mean measures indicating lower prices than earlier in the decade.