Fed Chair Warsh Abandons Forward Guidance at Jackson Hole

Fed Chair Kevin Warsh ended "forward guidance" — the post-2008 practice of signaling the likely future path of interest rates — at Jackson Hole on August 28, calling it overdue. Markets must now judge each policy meeting on fresh data, not communicated trajectories. Inflation stood at 3.4% in July, and three FOMC members dissented, favoring a rate hike.