Warsh: Inflation Risks Have Eased Since Last Meeting

Fed Chair Warsh signals inflation risks declining amid manufacturing strength

Federal Reserve Chair Kevin Warsh stated that inflation risks have come down, coinciding with signs of manufacturing strength and easing price pressures that lifted stocks from session lows. USD weakness likely as lower inflation outlook reduces rate-hike expectations; EUR/USD and GBP/USD may rise on reduced Fed hawkishness, affecting rate differentials and carry positioning.

https://www.bloomberg.com/news/videos/2026-07-01/stocks-bounce-on-manufacturing-warsh-s-remarks-video

Fed Chair Warsh signals inflation progress at Sintra conference

Fed Chair Kevin Warsh delivered remarks on inflation and price stability at the ECB's Sintra conference, signaling progress on the central bank's inflation mandate. The speech reinforces market expectations for potential rate cuts if disinflationary trends continue. USD likely to weaken on dovish inflation signals; EUR/USD and GBP/USD may strengthen.

https://www.bloomberg.com/news/videos/2026-07-01/open-interest-7-1-2026-video

Fed's Warsh says inflation risks have declined substantially

Federal Reserve Chair Kevin Warsh stated Wednesday that inflation risks have decreased, citing substantially lower energy rates following the U.S.-Iran framework agreement. This dovish rhetoric on inflation supports a softer Fed stance. USD pairs, particularly USD/JPY and EUR/USD, may weaken on reduced rate-hike expectations, as markets reassess terminal rate forecasts.

https://thehill.com/business/5950083-kevin-warsh-inflation-interest-rates-ai/