Warsh is trying to change the inflation metric

Dioxbit · 2026-05-18T04:54:40+00:00

=== SUMMARY === - The post highlights Kevin Warsh's push for the Fed to use Trimmed Mean PCE (currently ~2.36%) instead of Core PCE (3.20%), which would make inflation appear closer to the 2% target. - The author's thesis is that adopting this metric gives the Fed more justification to cut interest rates sooner, a bullish signal for risk assets. - Quality assessment: Medium – references a credible Brookings article and data, but is speculative policy commentary rather than deep fundamental DD or a specific trade thesis. === SENTIMENT === BULLISH === TRADE IDEAS === No actionable trade ideas in this post. The author discusses a policy shift that could support rate cuts, but does not explicitly or strongly imply any specific ticker or directional trade.

u/Dioxbit · Reddit — r/wallstreetbets · May 18, 2026 at 04:54 · ⬆ 72 pts · 💬 21 comments | View on Reddit ↗

AI Summary

Summary

The post highlights Kevin Warsh's push for the Fed to use Trimmed Mean PCE (currently ~2.36%) instead of Core PCE (3.20%), which would make inflation appear closer to the 2% target.
The author's thesis is that adopting this metric gives the Fed more justification to cut interest rates sooner, a bullish signal for risk assets.
Quality assessment: Medium – references a credible Brookings article and data, but is speculative policy commentary rather than deep fundamental DD or a specific trade thesis.

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