Fed's Warsh faces new pressure to hike rates
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Markets are now betting on a 90% chance of a rate hike at Wednesday's Fed policy meeting, according to CME FedWatch. Officials will take this latest inflation data to look at the trends over the past three, six, and twelve months to help assess whether price pressures are easing.
A hotter August CPI could push the divided Federal Reserve toward a rate hike as sticky inflation, higher oil prices, and strong jobs data pressure Warsh.
Kevin Warsh has chaired the Federal Reserve since 22 May, and his first Jackson Hole speech on 28 August left the market pricing something no fintech lender modelled for 2026. PCE inflation, he said,
The so-called core consumer-price index showed a rounded rise of 0.3% in August, a hotter-than-expected price increase that raises the odds of a Fed rate hike. Fed watchers have taken to drilling down into the CPI report,
The details in the latest Consumer Price Index report could compel the Federal Reserve to raise interest rates.
The percentage of Americans with multiple jobs has resumed to pre-pandemic norms, with middle-income and self-employed people leading the charge.
The market is stuck in neutral and there are still plenty of big risks to worry about.
The former Federal Reserve chair reportedly sold his Gibson Island waterfront mansion in an off-market deal less than three months after leaving the central bank.