The Hawkish Whisper: What Markets Heard in Jackson Hole Federal Reserve Chairman Kevin Warsh's keynote speech at the annual Jackson Hole symposium sent a clear signal to markets that the Fed is serious about inflation and prepared to recommend an interest rate hike.
His comments, while not unexpected, seemed more hawkish than usual. Markets reacted swiftly, with odds for a September hike jumping to 66. 1% within days of Warsh's speech.
However, some observers are warning that hype for a hike is unjustified, citing recent data showing inflation has remained relatively restrained.