Warsh offers no October rate signal as Fed faces hike debate
Speaking in Bangkok alongside IMF chief Kristalina Georgieva, Fed Chair Kevin Warsh praised the global economy's surprising resilience but refused to say whether rates will rise or hold at the October 27-28 meeting. Markets had feared a possible back-to-back hike.
By Standard Topic. AI-generated from the reporting listed under Coverage. Published . Updated .
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What happened
Federal Reserve Chair Kevin Warsh, speaking at the IMF and World Bank annual meetings in Bangkok, refused to preview whether the Fed will hike or hold interest rates, despite persistent inflation concerns. On Friday he also called artificial intelligence the most consequential change of his lifetime, predicting a bumpy but ultimately positive path for economies.
Why it matters
Inflation data had raised bets on back-to-back rate increases, and the dollar weakened after Warsh gave no guidance. Analysts still expect a hold, but say the decision is uncertain.
Timeline
- Oct 16, 12:08 AM ET: Warsh said AI would make economies that use it well wealthier, though the road there would be very bumpy.
- Oct 16, 1:25 AM ET: The dollar weakened after Warsh declined to hint at a October rate rise, following CPI data that raised bets on possible back-to-back hikes.
- Oct 16, 11:38 AM ET: Analysts noted that investors expect the Fed to hold rates in October, while Warsh's communication approach left the decision uncertain.
- Oct 16, 12:57 PM ET: Warsh took part in a fireside chat with IMF Director Kristalina Georgieva during the week-long meetings in Bangkok.
Coverage
- Fed Chair Warsh Flags Persistent Inflation, AI's Mixed Economic Impact Ahead of Oct. 28 Rate Decision (IndexBox Inc.)
- Fed chair reaffirms price stability commitment, avoids signaling next rate move (Anadolu Agency)
- Fed’s Warsh hails economic resilience but sees ‘bumpy’ AI road ahead (Euronews)
- Here are the key things Fed Chairman Kevin Warsh said — and didn’t say — while Americans were sleeping Thursday night (marketwatch.com)
- AI 'most consequential change' to economy in my lifetime: Fed's Warsh (The Standard 英文虎報)
- Federal Reserve Chair Warsh Prioritises Price Stability, Withholds Rate Signals (Streamline Feed Official)
- Fed chair Warsh says price stability is key but shies away from signals about rates (AP)
- Fed's Warsh surprised by world economy's 'resilience' (France 24)
- Warsh says Fed must burnish its institutional credibility to get policy right (Reuters)
- Federal Reserve Chair Warns AI's Economic Path Is Arduous (Kim Sung-mo)
- Warsh Vows Price Stability as A.I. Delivers ‘Shock’ to Economy (The New York Times)
- Fed's Warsh says AI path will be 'very bumpy' but ultimately 'very good' for wealth (CNBC)
- Warsh links AI boom to inflation as Fed weighs hike
- Warsh stays silent on rate path as Fed meeting nears
- Warsh offers no October rate hint, stressing price stability and AI risks
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