Fed Will Not Pre-Announce Future Rate Decisions

Federal Reserve Chair Kevin Warsh announced that the regulator will not pre-announce future interest rate decisions. Assessments of the current situation will be conducted during October and December meetings.

In his speech, the Fed chairman noted that after the September meeting, the global economy developed as expected. The country is experiencing structural growth, and investments have increased sharply. At the same time, monetary policy is tightening globally.

Inflation and the Impact of Artificial Intelligence on the Economy

• Inflation remains a serious problem not only for the US but also for other countries around the world.
• Artificial intelligence (AI) can boost economic productivity, with the initial effect likely to appear on the demand side.
• The Federal Reserve will hold in-person hearings on the impact of AI on November 16.

Kevin Warsh emphasized the need to consider risks to financial stability when making decisions. He also admitted that he might be overly sensitive to the consequences of the global financial crisis.