The Federal Reserve will publish the minutes from its June 16-17 FOMC meeting today at 2 p.m. ET, giving markets their first detailed look at how the central bank operates under new chair Kevin Warsh.
Warsh’s inaugural session ended with a unanimous 12-0 vote to hold the federal funds rate steady at 3.5%-3.75%. The real story, though, wasn’t the rate decision. It was everything the Fed chose not to say.
The art of saying less
The post-meeting statement from the June gathering was cut to roughly one-third the length of its predecessor. Forward guidance was essentially eliminated.
This represents a dramatic philosophical break from the Powell years. Warsh appears to be channeling a different era entirely, one more reminiscent of Alan Greenspan’s famous opacity.
