Warsh’s First FOMC Meeting Seen Neutral, Rate Cuts Removed from Dot Plot
Nordea’s Jan von Gerich predicts Kevin Warsh’s debut FOMC meeting on June 17 will deliver a more neutral policy stance, with earlier projected rate cuts likely removed from the dot plot and some hike calls appearing.
Nordea analyst Jan von Gerich expects Kevin Warsh’s first Federal Open Market Committee meeting on June 17 to adopt a more neutral policy stance. According to the note, the dot plot is likely to remove previously projected rate cuts, and some committee members may introduce rate hike calls.
The cautious tone reflects Warsh’s anticipated approach as he takes the helm, with markets now pricing in a less dovish trajectory than earlier this year. The shift suggests the Fed is prioritising data dependency over pre-committed easing.
Source: FXStreet Forex News