Federal Reserve Chair Kevin Warsh tells central bankers and investors that inflation risks have eased in recent weeks, while reiterating that prices are still too high and the Fed remains committed to delivering price stability. Speaking at the European Central Bank’s annual forum in Sintra, Portugal, Warsh says “inflation risks have come down,” noting that energy-related rates have dropped “quite substantially” following a U.S.-Iran framework agreement reached last month. Multiple outlets report him as emphasizing that the Fed will work to return inflation to its 2% target and that it remains focused on bringing inflation under control.
At the same time, Warsh does not provide guidance on what the Fed will do next with interest rates. Several reports describe him as ruling out forward-looking signals about rate hikes or an upcoming decision. Other coverage characterizes his remarks as a vow to be independent and a commitment to price stability, but with no concrete timeline or directional indication for the next rate move. One outlet also includes his prediction that AI will create jobs, though the primary theme across sources is inflation risk and the absence of rate guidance.
