Warsh Under Pressure to Clarify Views on Inflation and Interest Rates

New Federal Reserve Chair Kevin Warsh is facing pressure to clarify his views on inflation and interest rates.

Warsh has adopted a more cautious approach, saying much less about the economy and inflation compared to his predecessors.

Economists and Wall Street investors are hoping for a clear signal on how he thinks the Fed should handle stubbornly elevated inflation.

Warsh's last press conference sowed confusion when he ducked repeated questions on whether the Fed would hike its benchmark interest rate if inflation stays high.

David Wilcox, a senior fellow at the Peterson Institute for International Economics, said Warsh needs to clarify his conceptual framework for directing monetary policy without committing to specific future moves.