Warsh Warns Policymakers Must Be Confident on Inflation Slowing

Fed Chair Kevin Warsh's communication style has been a point of contention on Wall Street. However, in a recent speech, he provided some clarity on his views regarding US inflation.

Warsh warned that inflation is not slowing down at a meaningful pace and that policymakers must be confident it will do so before the central bank can declare victory. Otherwise, there's 'work to do,' according to Warsh.

Although he stopped short of signaling his support for an interest-rate hike in September, his remarks seemed to reassure investors who have been betting on a rate increase to combat inflation.