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4 Words From Fed Chair Kevin Warsh Should Have Wall Street and Investors Quaking in Their Boots

The Motley Fool·
4 Words From Fed Chair Kevin Warsh Should Have Wall Street and Investors Quaking in Their Boots

Fed Chair Kevin Warsh's comment "we're working on it" regarding price stability signals forthcoming rate hikes that could threaten the AI-driven bull market. Rising inflation from Trump's tariff policies, the Iran war, and the AI infrastructure build-out is prompting the FOMC to pursue more aggressive rate increases. The CME FedWatch Tool projects a 65% probability of at least 75 basis points in rate hikes by September 2027, which could slow the debt-financed AI build-out and hurt stock market gains.

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