Fed Chair Warsh's Hawkish Stance on Inflation Casts Doubt on 2026 Rate Cuts

New Federal Reserve Chair Kevin Warsh's recent comments on inflation suggest a more hawkish approach, potentially diminishing hopes for rate cuts in 2026. Warsh reportedly told CNBC last week that prices remain "too high." This follows the Fed's decision last month to hold interest rates steady. May's core inflation surged to 3.4%, with the all-items reading exceeding 4%, reinforcing concerns about persistent price pressures.