Fed Chairman Kevin Warsh: Today's decision shows we will deliver on the price stability objective

Summary

Federal Reserve Chairman Kevin Warsh took questions after the Fed raised the federal funds rate by 25 basis points. Asked about the gap between the policy action and the SEP median showing a return to 2% inflation only in 2029, Warsh said those projections are his colleagues', not his own. He reiterated that he does not give forward guidance and that the Fed remains committed to delivering price stability on a timely basis. Warsh said today's action shows the committee is serious, but he did not provide a measurable inflation threshold.

• Fed raised the federal funds rate by 25 basis points.
• McKee asked about the inconsistency between the policy action and the SEP's 2029 2% target.
• Warsh said the SEP forecasts belong to his colleagues, not him.
• Warsh reiterated he does not provide forward guidance.
• Warsh said the Fed will deliver price stability on a timely basis.
• Warsh said today's action shows the Fed is serious but gave no specific inflation threshold.
• No specific asset or security trade was recommended.