Warsh's Rate Hike Stakes Claim in Federal Reserve Independence

Kevin Warsh's decision to raise interest rates for the first time in three years was seen as a bold move to combat stubborn inflation. As the chair of the Federal Reserve, he made a unanimous decision with his committee to increase rates.

Warsh's resolve appeared unwavering even in the face of a veiled threat from White House economic adviser Kevin Hassett, who warned that an independent Fed should stay out of elections.

The contrast between Warsh's hawkish comments and the administration's more erratic economic rhetoric was stark. President Trump had earlier threatened to 'STOP TRADING WITH COUNTRIES WITH WHICH WE HAVE A DEFICIT' unless the Fed cut interest rates.