The change of chair at the Federal Reserve might usher in a new phase for the world's largest central bank, Amundi Investment Institute says in its midyear outlook. "Under Chairman Kevin Warsh, the Fed may consider reforms that could not only change the way monetary policy is conducted, but also how the Central Bank interacts with the Treasury," it says. This comes at a delicate moment, with the Fed having to defend its independence while navigating a complex inflation, growth and fiscal backdrop, Amundi says. The most immediate challenge is where to set interest rates in light of the Fed's dual inflation and employment mandate, the asset manager says. "The cycle is harder to read than in the past." (emese.bartha@wsj.com)
Dow Jones Newswires
Fed Under Warsh Might Reform Monetary Policy Conduct, Interaction With Treasury — Market Talk
- Sources
- Dow Jones Newswires
- Markets
- Bonds, Economy
- Language
- English
The change of chair at the Federal Reserve might usher in a new phase for the world's largest central bank, Amundi Investment Institute says in its midyear outlook. "Under Chairman Kevin Warsh, the Fed may consider reforms that could not only change the way monetary policy is conducted, but also ho…