Warsh's gamble: A quieter Federal Reserve could mean volatile markets, higher rates | Business - EUROPE SAYS
WASHINGTON (AP) — TheFederal Reservehas for decades moved steadily from a remote, opaque government agency that shared little about what it did or why to a more transparent institution willing to explain how. . .
WASHINGTON (AP) — TheFederal Reservehas for decades moved steadily from a remote, opaque government agency that shared little about what it did or why to a more transparent institution willing to explain how it makes decisions and what it thinks about the economy. But inhis first press conferenceWednesday, new chair Kevin Warsh began to reverse some of those steps. Warsh, like many economists, thinks the financial markets have become too dependent on Fed guidance, and that such direction is more effective in financial crises or economic downturns. kAm(2CD9 BF:4256 492?86Di %96 u65VD DE2E6>6?E @? :ED :?E6C6DE\C2E6 564:D:@? H2D D=2D965 E@ `ba H@C5D[ 7C@> bc` 😕 pAC:=] p?5 (2CD9 A@:?E65=J ?@E65 E92E E96 DE2E6>6?E 6I4=F565 2?J 9:?ED[ @C “7@CH2C5 8F:52?46[” 23@FE H92E E96 u65VD ?6IE >@G6D >:89E 36]k^AmkAmx? D9@CE[ (2CD9 C2A:5=J 56=:G6C65 @? 2 AC@>:D6 E@ D=2D9 E96 u65VD 4@>>F?:42E:@?D[ A2CE:4F=2C=J E96 8F:52?46 :E 8:G6D E@ 7:?2?4:2= >2C@G6D] *6E DF49 2? 2AAC@249 42CC:6D E96 C:D@C6 G:@=6?E DH:?8D 😕 DE@42E6=J 4@F=5 =625 E@ 9:896C :?E6C6DE C2E6D 7@C 4@?DF>6CD 2?5 3FD:?6DD6D]k^AmkAm“u@CH2C5 8F:52?46 😕 86?6C2= 92D D6CG65 E@ DFAAC6DD G@=2E:=:EJ 2?5 2?49@C >2C24C@ DEC2E68:DE 2E q6DA@6?E vC@FA] “p?5 E92E 92D =65 E@ =@H6C 3@CC@H:?8 C2E6D[ C6=2E:G6 E@ 2=E6C?2E:G6D]”k^AmkAm$E:==[ E96 :>A24E @? 4@?DF>6CD 😀 =:@56DE[ !62C@CE8286 C2E6D A6C92AD 2 BF2CE6C\A@:?E 9:896C E92? E96J H@F=5 36 @E96CH:D6]k^AmkAmu:?2?4:2= >2C^2CE:4=6^DE@42C6?E 2?5 ?6HD 4@?76C6?46] %96 J:6=5 @? E96 `_\J62C %C62DFCJ[ H9:49 DEC@?8=J :?7=F6?46D >@CE8286 C2E6D[ ;F>A65 (65?6D52J E@ c]chT 7C@> c]cbT[ E9@F89 :E 76== 32466E:?8] %96 3C@25 $U2>Aj! d__ DE@42J 36 962565 3246] !C6G:@FD 492:CD 92G6 D:8?2=65 E96 u65VD ?6IE >@G6D 4=62C=J 6?@F89 E92E 7:?2?4:2= >2C6C 492:C p=2? vC66?DA2?[ H9@D6 4:C4F>DA64E 4@>>6?ED @7E6? `hgf E@ a__d[ 5:5 FD96C 😕 E96 DE2E6>6?E E96 u65 ?@H :DDF6D 27E6C 6249 >66E:?8 2??@F?4:?8 :ED 564:D:@?] %96 7:CDE DE2E6>6?E H2D :DDF65 u63] c[ `hhc[ 2?5 D2:5 E96 u65 H@F=5 :?4C62D6 :ED 6 😕 7:G6 J62CD] %96 >@G6 42F89E :?G6DE@CD @77\8F2C5 2?5 E96 s@H y@?6D x?5FDEC:2= pG6C286 A=F?865 a]cT E92E 52J]k^AmTags:businessEconomic indicatorseconomic policyEconomyFederal Reserve Systemfinancial marketsgeneral newsPoliticsstocks and bondsU. S. Newswarsh federal reserve rates wall street