Warsh's Fed Messaging Criticized by Wharton Professor Jeremy Siegel

Federal Reserve Chair Kevin Warsh's post-FOMC meeting press conference was criticized by professor emeritus of finance Jeremy Siegel, who argued that his communication 'wasn't defensible.'

Siegel said while the decision to leave interest rates unchanged was reasonable, Warsh failed to explain the economic framework behind it. He added that markets do not expect the Fed to pre-commit to future policy moves but require a coherent framework explaining how policymakers are interpreting the economy.

Instead of providing clear insight into the Fed's thinking, Siegel said Warsh largely deferred to markets and offered little explanation, leaving investors 'filling in the blanks themselves.'