Federal Reserve official Kevin Warsh says there is no softer or implicit inflation target, and that the only target is 2%. Speaking during a press conference in Washington, Warsh emphasizes that the fight to bring inflation down is just beginning. He reiterates that the Federal Reserve does not use an additional or graduated inflation goal—either explicitly or informally—stating that there is “no soft inflation target” and “no soft implicit target” on the committee’s watch. Warsh also stresses that the central point of reference for inflation policy is a single numeric goal: 2%. The comments are presented as a clarification of the Fed’s inflation framework rather than a change to the stated target itself. Overall, the outlets report Warsh’s message that policy decisions are tied to the 2% inflation objective and that the Fed does not plan to treat it as flexible or conditional.
Fed official Warsh says there is no “soft” inflation target, only 2%
Federal Reserve official Kevin Warsh says there is no softer or implicit inflation target, and that the only target is 2%. Speaking during a press conference in Washington, Warsh emphasizes that the f...
- Kevin Warsh says there is no “soft” or implicit inflation target.
- Warsh says the only inflation target is 2%.
- He makes the comments during a press conference in Washington.
- Warsh characterizes the effort to reduce inflation as just beginning.
Federal Reserve Chairman Kevin Warsh says the fight to bring down inflation has just begun. “Let me reiterate: there is no soft inflation target, there is no soft implicit target, not on this committee’s watch," he said during a press conference in Washington. Warsh says "there's only a target, and it's 2%." (Source: Bloomberg)
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