The real problem with inflation isn't Kevin Warsh -- and it might be beyond his power to fix it anytime soon.

Federal Reserve Chair Kevin Warsh has committed to a significant policy overhaul aimed at curbing inflation, a promise he made upon taking office. Since then, Warsh has implemented steps consistent with this goal,

"Look, the president understands—he and I have talked about it quite a bit—... the bond market has taken out more governments than howitzers."

Kevin Warsh is ushering in big changes as Fed Chairman, but Wall Street can't help but look for hints about the future; it might be right this time.

The SPDR Gold Shares (NYSEMKT: GLD), an exchange-traded fund (ETF) that is backed by spot gold, closed 18% below its Jan. 29 all-time high on Sept. 8. If Warsh fails to regain the market's belief in the Fed's resolve in the fight against inflation, expect the price of gold to rise further.

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,

It's been a year packed with resiliency and change on Wall Street. On the one hand, we've watched the Dow Jones Industrial Average (\^DJI-0.51%), S&P 500 (\^GSPC-0.38%), and Nasdaq