Fed Chair Warsh Reiterates Commitment to Tackle Inflation
Federal Reserve Chairman Kevin Warsh testified before lawmakers, emphasizing the central bank's commitment to controlling inflation, which has remained high for five years. He stated that the Fed has 'no tolerance for persistently elevated inflation' and aims to restore price stability. Warsh's comments followed a report showing a 0.4% decline in the consumer price index in June, the first drop in six years. He noted that while the economy appears stable, uncertainties remain, particularly regarding the impact of artificial intelligence on inflation and the labour market. Warsh also mentioned ongoing reforms within the Fed, including five new task forces aimed at reviewing key policymaking areas. The Fed's benchmark interest rate remains unchanged at 3.5% to 3.75%. Warsh's leadership began in May, and he has faced scrutiny regarding his independence from political pressures.
Published 23 hours ago • 14 Jul 2026, 09:58 PM IST