Warsh's Hawkish Fed Debut Shocks Markets: 'This Committee Will Deliver Price Stability'

Federal Reserve Chair Kevin Warsh delivered a hawkish first press conference, pledging decisive action against inflation and signaling a potential rate hike this year instead of cuts. The announcement triggered a broad market selloff, with the S&P 500 falling 1.2%, Nasdaq 100 dropping 1.2%, and the Russell 2000 sinking 2%. Warsh eliminated forward guidance and announced five task forces to review Fed operations and inflation frameworks.