Warsh Signals Fed May Not Be Done Fighting Inflation

Federal Reserve Chairman Kevin Warsh addressed the Jackson Hole Economic Policy Symposium, marking his 100th day in office. He thanked President Jeff Schmid and his colleagues at the Federal Reserve Bank of Kansas City for their hospitality.

Warsh referenced a memorable hike he took with former Vice Chairman Don Kohn, calling it a 'Kohn day' due to its challenging nature. In contrast, he compared another type of hike, associated with Chairman Ben Bernanke, as more leisurely and easier.

The conference theme was innovation, and Warsh acknowledged that the public and markets understand the importance of policy innovations in achieving price stability alongside full employment.

However, Warsh expressed concern about inflation, stating that financing conditions didn't appear restrictive to him. He emphasized the need for underlying inflation to move towards the Federal Reserve's objective at a sufficient speed.