Fed's Warsh Says Interest Rates Aren't Holding Economy Back
Dow Jones
1 hour ago
Fed Chairman Kevin Warsh didn't give market participants much hope that Wednesday's rate increase would be a one-and-done event.
Asked whether he thinks monetary policy is weighing on economic activity following the hike, Warsh said that he "found it difficult to describe financial conditions as restrictive" and that most of his colleagues at the Fed agree.
Warsh said that raising rates by 0.25 percentage point had only "removed a dose of accommodation," suggesting that officials might want to see more restrictive financial conditions, i.e. a less frothy stock market and higher bond yields.
The S&P 500, which was higher on the session when Warsh started speaking, is now in the red.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.