Kevin Warsh's Quiet Overhaul at the Fed: Markets Reel as Old Rules Give Way

Central banks need to speak, even when they are wrong

Kevin Warsh has turned back the transparency revolution in central banking, refusing to commit to regular news conferences and has expressed disdain for "forward guidance."

Rate hikes may be a blunt tool, but they’re all the Fed has to cool inflation

Warsh’s options are limited and problematic

Kevin Warsh's Quiet Overhaul at the Fed: Markets Reel as Old Rules Give Way

Kevin Warsh took the oath as Federal Reserve chairman on May 22. He wasted little time signaling a break from the past. In a memo sent to more than 20,000 employees two weeks later, he called for open discussions of strategies, policies and operations. The Fed must be fit for purpose. Focused on the future. “We are the Federal Reserve,” he wrote, according to a report in The New York Times. That message set the tone. Warsh, a former Fed governor…

Fed Chair Kevin Warsh Is Reshaping the Central Bank, but the Unintended Consequences of His Actions Can Derail Wall Street

Reforming the Federal Reserve comes at a potentially steep cost to an already expensive stock market.