Fed Chair Warsh: Fed Is Not Providing Forward Guidance

The signal here is procedural rather than directional: stripping away forward guidance removes the main tool markets have used to price the path of policy, leaving data and each meeting's deliberations as the only inputs. That raises the premium on incoming inflation and labor data, since participants can no longer lean on Fed signaling to anchor expectations between meetings. Whether this communication style persists, and how other officials frame it, is the open question worth watching.